Industry Veteran Frank Terlep Sells Company, Receives Three Awards at SEMA, Named CIC Chair
By Stacey Phillips Autobody NewsA little over three years ago, Frank Terlep co-founded Auto Techcelarators to help the auto, collision, glass, insurance and truck industries properly estimate, calibrate and validate advanced driverassistance systems (ADAS) repairs and calibrations.
As CEO, Terlep and his team developed Test Drive CoPilot™, a platform designed to change how ADAS safety system verification test drives are performed, managed and documented. They also created Calibration CoPilot™ to properly operate and manage ADAS service and calibration businesses, and
ADAS CoPilot™, an ADAS and calibration information, knowledge and repair procedure mobile app and web portal.
The entrepreneur has worked in the automotive industry for more than 40 years, dating back to 1984, when he launched his first technology business with a $100,000 investment from an angel investor and developed one of the first software applications for the automotive aftermarket industry.
Since then, he said he has helped design and launch the industry’s first Windows-based estimating and management system, the first online parts procurement platform, the first mobile app and digital marketing platform, as well as a remote scanning
REGIONAL NEWS
‘Right to Repair’ Advocates Eye Maine’s 2023 Ballot
By Christian Wade The Center SquareMaine could become the latest battleground in the national “right to repair” fight over expanding consumer access to wireless motor vehicle diagnostic data.
A coalition of auto repair shops launched a campaign for a statewide referendum in 2023 that would, if approved by voters, require
manufacturers to provide software and diagnostic data to small repair shops and vehicle owners.
The groups have received a green light from the Maine secretary of state’s office to begin gathering more than 63,000 signatures by a January deadline, the first of several hurdles to make next year’s ballot.
Under a nearly decade-old settlement between industry groups,
REGIONAL NEWS
By Lesley Fair FTCWhen it comes to the car buying process, there a world of difference between going for a test drive and getting taken for a ride.
A Federal Trade Commission (FTC) complaint against Washington, D.C.-based Passport Automotive Group alleged the company deceived customers by packing junk fees onto the cost of its vehicles. According
REGIONAL NEWS
‘Right to Repair’ Advocates Eye Maine’s 2023 Ballot 1
Biden Agenda Sends $530M to Pair of Massachusetts EV Companies 6
Biden Touts Investment in Pennsylvania’s Infrastructure 32
Communication, Collaboration and Congratulations at AASP/NJ’s Annual Meeting 4
Connecticut Small Businesses Getting $46.6M in 5-Year Plan 4
Honda Destination Fee Lawsuit Filed in New Jersey 20
Maryland Auto Insurance Offers Improved, Interest-Free Installment Payment Plan Option 8
Maryland Auto Insurance Participates in Disaster Recovery Emergency Management Program Facilitated by MEMA 42
Metro New York Auto Retailer Named TIME Dealer of the Year 48
NATIONAL NEWS
69 Collision Schools Receive $436,000 in 2022 CREF Grants 14
Auto Care Alliance Announces Calendar 8
Auto Care Alliance Partners with Broadly 72
Auto Insurers Struggle to Manage Expectations as Repair Times Increase 77
Average Length of Rental Up 3 Days Year-Over-Year 73
Axalta Promotes Muse to VP of Sales 74
Boyd Group Services Inc. Reports 3Q Financial Results 69
CCC Introduces Diagnostics Enhancements 69
CCC Names New Executive 62
CIF Announces 3M as Annual Donor 6
Classic Collision Adds 3rd Location in North Carolina, Expands Again in Texas 42
Collision Repairers Can Help Consumers Understand Differences Among Insurers 62
Cyberattacks Increasing in Auto Dealerships 56
Dynabrade Awarded Certification 4
Enlyte’s 2022 Trends Report Offers Strategies to Tackle Big Issues in Auto, Casualty and Workers’ Comp 63
Equalizer® Gives Back this Holiday Season 64
EV Sales Hit Record, According to Kelley Blue Book 74
Ford Hit with $105M Verdict Over Trade Secrets 50
GM Secures All Energy Needed to
Mike Kaufmann Inducted Into AASP/NJ Hall of Fame 44
New Hampshire Businesses Get Break on Unemployment Taxes 34
PA Junkyard and Auto Repair Shop Ordered to Pay $106,000 in Restitution to Customers 13
Patrick Crome of Compact Kars Receives AASP/NJ’s Russ Robson Scholarship Award 39
Tesla Closer to Opening 1st Dealership in Vermont 23
TrueCar Honors Vietnam U.S. Marine Corps Veteran with New Retrofitted Vehicle for DrivenToDrive Initiative 28
Washington, D.C., Auto Group Fined $3.3 Million by FTC for Violating Fair Lending Laws, Adding Fees 1
WMABA Hosting Meeting with Up and Coming Techs of NVCC on Dec. 15 47
COLUMNISTS
Mike Anderson
What You’re Missing by Not Researching Battery Disconnect and Reconnect Procedures 12
Abby Andrews
Collision Repairers Learn How to Negotiate with Insurers to Get Paid for All Work 65
Driven Brands Celebrates Opening of 1,000th Collision Repair Location in North America 16
Stacey Phillips
ALLDATA’s ADAS Quick Reference Tool Receives SEMA New Product Award in ADAS Category 38
Collision Repairers Find Cost Savings & Quality Care with SCRS National Health Care Plan 10
Industry Veteran Frank Terlep Sells Company, Receives Three Awards at
SEMA, Named CIC Chair 1
Mitchell Awarded 3rd Patent for Collision Repair Diagnostics, Showcases Product Enhancements at SEMA 18
Prestigious Awards Announced at Collision Industry Red Carpet Awards Breakfast During SEMA 2022 24
Spanesi Americas Introduces FLASH Portable Pulling Column 52
SUN Collision Repair Information Software Helps Technicians Find OEM Repair Procedures 46
John Yoswick
Economist Tells Collision Repairers at MSO Symposium: ‘Beware the Economic Narrative’ 58
How Will Results from SCRS ‘Blend’ Study Be Used Moving Forward? 26
Index of Advertisers
Acme Nissan 25
Acura of Westchester 70
Agile Truck & Auto Tools 5
Audi Devon 52
Audi Wholesale Parts Dealers 71
Axalta Coating Systems 6
BendPak 15
Liberty Kia 18
Long Automotive Group 22
Malco 8
Mazda Wholesale Parts Dealers 64
Mercedes-Benz of Fort Washington 33
Mercedes-Benz of Goldens Bridge 74
Mercedes-Benz of Paramus 47
Achieve Renewable Energy Goal 25 Years Ahead of Target 64
I-CAR Recognized for Skills Training 56
Kia Recalls 71,000 SUVs for Fire Risk 78
Minnesota Law Firm Files Class Action Complaint on Behalf of Kia and Hyundai Theft Victims 47
More Than 745,000 Stolen Vehicles Reported So Far in 2022 58
MotorTrend Launches ‘FAST’ TV 54
NABC Announces New Board Members 44
NABC Donates 9 Vehicles, Presents Awards, Inducts Hall of Eagles Members at SEMA Show 68
Nationwide Catalytic Converter Theft Ring Busted 72
New-Vehicle Average Transaction Prices Fall for First Time in Five Months After Recently Hitting Record High 55
New-Vehicle Monthly Payment Hits Another Record High in October 54
Nikola Founder Trevor Milton Convicted on 3 Counts of Fraud 54
SCRS Study Concludes Blend Time is Greater than Full Refinish 76
Some Americans Consider Driving Less, Skipping Coverage in Face of Rising Insurance Costs: Report 70
SPARTAN Group Now Includes SCRS Membership 34
WIN Announces Annual Sponsorship Program 32
WIN Opens Nominations for MIW Awards 31
Biener Audi ������������������������������������������������ 30 Biener Ford 30
BMW Wholesale Parts Dealers 60-61
BRAM Auto Group 27
Brown-Daub Kia 44 Cadillac of Mahwah 54
Car-Part com 34
Central Avenue CJDR 21
Certified Automotive Parts Association 74
Ciocca Parts Warehouse ��������������������������� 45
Circle BMW 42
Classifieds 78
Colonial Automotive Group 43
Courtesy Mitsubishi 48
DePaula Chevrolet-Ford 46 Dynabrade, Inc 80
Eastchester Chrysler-Jeep-Dodge 70
Empire Auto Parts 32
Equalizer Auto Glass Tools ������������������������� 18
Ford Wholesale Parts Dealers 57
GM Wholesale Parts Dealers 59
Grieco Toyota 44
GUNIWHEEL 13
Hoffman Auto Group 51
Honda-Acura Parts Dealers 35, 36-37
Hyundai Wholesale Parts Dealers 68
Industrial Finishes and Systems 19
Infiniti of Norwood
Mercedes-Benz of West Chester��������������� 23
Mercedes-Benz of Wilmington 23
Mercedes-Benz Parts Dealers 79
MINI Wholesale Parts Dealers 62
MOPAR Wholesale Parts Dealers 40-41
New Holland Ford 55
New Holland Toyota 56
Nielsen Ford 76
Nissan/Infiniti Parts Dealers 64
North American Bancard ����������������������������� 9
Northstar Kia 42
Nucar 49
Open Road Acura of East Brunswick 77
Open Road Chevrolet 39
Ourisman Chevrolet 76
Ourisman Chevrolet-VW-Mazda of Rockville 29
Ourisman Chrysler-Jeep-Dodge 28
Packer Norris Parts ������������������������������������ 53
Polestar Princeton 14
Porsche Wholesale Parts Dealers 63
Prestige Lexus 12
Rafferty Subaru 56
Rockland Nissan 28
SATA Dan-Am Company 2
Schultz Ford 31
Sheehy Lexus of Annapolis 14
38
Island Clean Air 11
Jaguar Land Rover Cherry Hill 50
Kelly Jeep-Chrysler 16
Kia Motors Wholesale Parts Dealers 67
Kia of Attleboro 48
Kia of Coatesville 65
Kundert Volvo 20
Lexus Wholesale Parts Dealers 72
Sorbothane Soft-Blow Mallet �������������������� 32
Spanesi Americas 7
Subaru Wholesale Parts Dealers 69
Toyota Wholesale Parts Dealers 58
TYC Genera Corporation 17
Volkswagen Wholesale Parts Dealers 75
Volvo Wholesale Parts Dealers 73
White Plains Volkswagen 56 Yonkers Kia 52
Dynabrade Awarded Certification
Dynabrade, Inc., a leading industrial abrasive power tool manufacturer, announced it earned ISO 9001:2015 certification for its quality management system.
ISO 9001:2015 is a globally recognized quality management standard developed and published by the International Organization for Standardization (ISO). The certification provides a model for companies of all types and sizes to use in creating an effective quality management system.
Dynabrade’s ISO 9001:2015 certificate (#QSR-1915) was issued by Quality System Registrars, the first U.S.accredited registrar of ISO certifications.
Dynabrade’s certification is for providing quality abrasive power tools and process solutions in all industry markets that require material removal and surface finishing.
Source: DynabradeCommunication, Collaboration and Congratulations At AASP/NJ’s Annual Meeting
Collision repairers and automotive professionals from all over the Garden State packed the Gran Centurions in Clark, NJ, on Oct. 19 to honor their peers, collaboratively discuss ideas and obtain valuable resources and information during the Alliance of Automotive Service Providers of New Jersey’s (AASP/ NJ) Annual Meeting.
After opening remarks from AASP/NJ President Jerry McNee and Executive Director Charles Bryant, the association re-elected Tom Elder of Compact Kars, Mike Kaufmann of the Mike Kaufmann Dealer Group and Tom Greco of Thomas Greco Publishing to its Board of Directors for the 20222025 term.
AASP/NJ also elected Danielle Molina of Perfect Bodies Collision Center in Passaic to her first term on the board.
Patrick Crome, a Mercer County Vocational School student employed by Compact Kars in Clarksburg, was named the recipient of the Russ Robson Scholarship Award. Paul Sgro
of Lee’s Garage in West Long Branch took home the New Jersey Automotive/Stan Wilson Body Shop of the Year award, and Kaufmann became the newest inductee to the AASP/NJ Hall of Fame.
“AASP/NJ is giving its members some control over their health care costs, helping to give them a better experience,” said Terry Gorman from World Insurance.
Audience members also heard from Ken Racioppi and David Johnson of Alliance Payment Solutions on options to manage credit card surcharge fees, as well as Paul Hill of I-CAR, who reviewed positive changes to the training program’s curriculum.
The meeting also served as a forum to make sure members were supplied with information concerning benefits such as the association’s group health care plan.
“It’s running like a well-oiled machine,” explained Joe Amato Sr. of the Amato Agency, a division of World Insurance, whose team was on hand to go over plan basics with attendees. The program has been bringing substantial cost savings to shops on their health care, which is noted to be the “second largest cost at your shop next to payroll.”
Connecticut Small Businesses Getting $46.6M in 5-Year Plan
By Brent Addleman The Center SquareA five-year plan to invest in small businesses in Connecticut is now a reality.
Connecticut will invest $46.6 million in the coming years that will help small business expansion through assistance programs across the state. Nonprofit economic development groups will receive the state grants, authorized at a recent Bond Commission meeting, that will assist small businesses with formation, growth and innovation.
The program, according to the release, will be run by the state’s Department of Economic and Community Development, and will be directed toward underserved small businesses. Nearly half of the funding will go to minority-, women-, disabled- and veteranowned businesses, in addition to those in underserved towns.
“Small businesses are the backbone of our economy, and these grants will specifically be used to help provide support for those small business owners who
may have previously experienced barriers to accessing financial support and other services needed to start and grow a business,” Gov. Ned Lamont said in a release.
businesses are the backbone of our economy, and these grants will specifically be used to help provide support for those small business owners who may have previously experienced barriers to accessing financial support and other services needed to start and grow a
businesses with low-interest loans and nonprofits.
Through Oct. 24, $10.8 million through 66 loans have been approved, and 61% of the funding went to minority- and womenowned businesses. Nonprofits and companies in distressed towns received 23% of the funding.
“This is an investment that will strengthen Connecticut’s small business ecosystem and fuel small business growth across the state,” Paul O. Robertson, deputy commissioner of DECD, said in a release. “Our local nonprofit partners are a vital support network for our small businesses and this funding will help them continue to provide critical services and expand their offerings as well.”
Following the presentations, McNee and fellow board member Ken Miller of 821 Collision in North Haledon led the audience in a “Town Hall” discussion, inviting any audience member to speak out about the things that affect them most in their day to day business. The microphone made its way around the room as repairer after repairer shared experiences, issues and solutions, bringing literal meaning to the term “shop talk.”
Stay tuned for information on upcoming AASP/NJ events by visiting aaspnj.org.
Source: AASP/NJ
The grant funding, according to the release, supports the creation of the state’s Small Business Boost Fund, developed this past summer, and is a publicprivate partnership that assists
Black Business Alliance received $2.7 million to provide financial and technical assistance and business coaching for Black business leaders. The Community Foundation of Greater New Haven received $7.2 million to create a more equitable entrepreneurial ecosystem, and Girls for Technology received $5 million.
“Small
business,” — NED LAMONT
The Collision Industry Foundation (CIF) announced 3M joined in the CIF Annual Donor Program at the Urgent Care tier with a $5,000 pledge.
The Annual Donor Program was designed to bring needed, recurring resources to the foundation, so it can deliver on its mission to ‘Answer the Call’ when those in the industry have been impacted by unforeseen catastrophic events.
“As large as the collision industry has grown, it is still a close-knit community one that 3M has been lucky enough to be a part of for well over 100 years. We’re family, friends and neighbors. Supporting shops through good times and bad is just part of our DNA, so working with CIF to help those in need is an easy decision,” said Jason Scharton, global expertise delivery manager for 3M Automotive Aftermarket.
“For many years, 3M has been known as a steady supporter of this industry and of the CIF cause. We are grateful that 3M also joined the CIF Annual Donor program,” said Petra Schroeder, “Collisionista” and CIF trustee.
Source: CIF
Biden Agenda Sends $530M To Pair of Massachusetts EV Companies
By Brent Addleman The Center SquareA pair of Massachusetts companies will benefit from the push to convert to electric vehicles.
Ascend Elements and 6K Inc. were recipients Oct. 19 of more than $530 million in federal funding through a program designed to support battery manufacturing, recycling and material processing for the electric vehicle market.
$2.8 billion total will go to 20 companies in 12 states.
U.S. Democratic Sens. Edward J. Markey and Elizabeth Warren and U.S. Reps. Jim McGovern and Seth Moulton hailed the move that will support the companies based in North Andover and Westborough.
“Massachusetts ingenuity and innovation has and continues to inspire the next generation of climate solutions,” the members of the Massachusetts delegation said in a release.
The delegation, according to the release, said the move will support demand for electric vehicles and at the same time “support goodpaying jobs.”
“This is truly a remarkable time for manufacturing in America, as President Biden’s agenda and historic investments supercharge the private sector to ensure our clean energy future is Americanmade,” U.S. Secretary of Energy Jennifer M. Granholm said in a release. “Producing advanced batteries and components here at home will accelerate the transition away from fossil fuels to meet the strong demand for electric vehicles, creating more good-paying jobs across the country.”
The U.S. Department of Energy will allocate the funding through its Battery Materials Processing and Battery Component Manufacturing and Recycling program. Both programs are funded through the Bipartisan Infrastructure Law.
Westborough-based Ascend Elements will receive $480
million that will be used to build a manufacturing plant where batteries will be recycled as raw material and reduce dependence on foreign suppliers.
Funding, according to the release, will bolster developing enough battery-grade lithium to supply 2 million electric vehicles each year, and developing enough battery-grade graphite for 1.2 million electric vehicles each year. In addition, the program will work to produce battery-grade nickel for 400,000 electric vehicles.
Based in North Andover, 6K Inc. is set to receive $50 million that will be used for a demonstration project eying domestically producing battery chemistries that will use microwave plasma processing technology, according to the release.
Maryland Auto Insurance Offers Improved, Interest-Free Installment Payment Plan Option
Maryland Auto Insurance is now offering an improved installment payment plan, which will allow more Maryland drivers to take advantage of the interest-free payment plan option.
This new plan is a result of legislation passed during the 2022 legislative session, and it has been approved by the Maryland insurance Administration.
The revised payment plan features a lower down payment of 18% and allows consumers to spread the cost of insurance over nine payments. Previously, Maryland Auto’s installment plan required a 20%-25% down payment and was limited to a maximum of six or eight payments, depending on the policy premium.
The requirement of a larger down payment made the prior plan inaccessible for some drivers and the legislature addressed this issue in the 2022 legislative session, by reducing the required down payment and expanding the number of payments.
The legislation that allowed Maryland Auto to revise its
interest-free installment plan was sponsored by state Sen. Cory McCray, D-45.
lowers their monthly insurance cost by spreading payments over a longer period of time, and saves money over the course of their auto insurance policy term by eliminating interest. These changes benefit our most financially vulnerable residents.”
“I am honored to have had the opportunity to sponsor this bill that helps remove added debt burden from financially challenged Maryland drivers,” said McCray. “The ability to drive a car goes far beyond simple convenience. It provides access to employment, childcare, fresh food and groceries, prescription drugs, schooling and much more on our own terms. By removing arbitrary statutory barriers placed on Maryland Auto’s interest-free payment plan, more low-income drivers now have access to a payment option that reduces their initial insurance costs,
These new installment billing terms will apply to personal auto policies only and Maryland Auto anticipates expanding the program for commercial auto policies in early 2023. Other payment options, including pay in full (with an 8% premium discount) and financing through a finance company, will still be available.
“Our improved, interest-free installment payment plan will help to further Maryland Auto’s mission of reducing the number of uninsured drivers on Maryland roads,” says Maryland Auto Executive Director Al Redmer Jr. “These changes will make it easier for consumers to take advantage of the interest-free plan that we offer.”
Source: Maryland Auto Insurance
Auto Care Alliance Announces Calendar
The Auto Care Alliance (ACA) announced a new resource for the aftermarket automotive industry.
The ACA Industry Events Calendar is an available resource for shop owners, technicians, educators and vendors to stay up-to-date with the latest conferences and expos throughout the U.S.
“We found that there wasn’t a comprehensive listing of industry events available. This will provide not only be a valuable resource for industry professionals but will also assist organizations in scheduling future events so as to not conflict with other industry events,” said Sheri Hamilton, executive director for the Auto Care Alliance.
The calendar can be found at www.autocarealliance.org/ industry-events.
Companies and organizations can submit their events to be included by completing the submission form included on the site.
Source: Auto Care Alliance
“These changes will make it easier for consumers to take advantage of the interest-free plan that we offer.”
— AL REDMER JR. MARYLAND AUTO EXECUTIVE DIRECTOR
Following the Society of Collision Repair Specialists (SCRS) announcement in September that it implemented a national health care solution for members, Executive Director Aaron Schulenburg said the program has received an overwhelmingly positive response from the collision repair industry.
carrier.
Schulenburg, Dunn and Frazer shared details about the program.
Schulenburg: In 2018, the SCRS board began focusing on how we could best serve member requests around human resources and benefits programs. We found that health care was their biggest challenge. They said it costs a fortune, they get bad coverage they can’t use, spend a ton of money, and feel they don’t have better options.
We’ve worked closely with both companies and have been impressed with the importance they have placed on touching base with the industry and ensuring members understand the plan.
Q: What did you want the plan to include?
Frazer: In 2018, association health plans were a common topic in national news. Regardless of the political climate and the winds of change in regulatory agencies and state insurance organizations, we wanted to find a plan that could rival large corporate buying power. We’re happy we found a solution.
compared their existing plan to this new one, they found they would save $6,000 in out-of-pocket expenses on the birth of their child. That’s a meaningful difference.
Q: Who is eligible to join?
Schulenburg: Anybody in the collision repair industry can shop the plan and learn about its benefits. Those who choose to participate must be SCRS members.
Q: Why should employers evaluate the plan?
Collision repair businesses had the opportunity to stop by the SCRS booth at the SEMA Show and learn about the health and retirement plans available from two organizations involved in setting up and managing the programs, Decisely and Gravie
“Since launching the plan, we’ve been able to save companies within the collision repair space close to $650,000 in premiums,” said Schulenburg. “That’s the tip of the iceberg and doesn’t account for the out-of-pocket expenses families can save.”
Schulenburg said the plan is saving companies up to 20% versus the renewals they are receiving from their current insurance providers. Additionally, he said the plan is unique in that it provides $0 deductibles, employee choice in their out-of-pocket maximum, and a list of no-cost services, such as primary care, urgent care, specialty care, labs and imaging, generic prescriptions and mental health care. He said most plans do not cover these services until an employee meets the deductible.
During the time when most employers go through open enrollment, collision repairers could stop by the SCRS booth at the SEMA Show and learn about the health and retirement plans available from two organizations involved in setting up and managing the programs, Decisely and Gravie. They included Decisely’s CEO and co-founder Kevin Dunn and SVP of Business Development Eric Frazer, and Abir Sen, co-founder and co-CEO of Gravie, the insurance
We worked with Decisely, a firm specializing in benefits brokerage and HR services, and launched the SCRS 401(k) Multiple Employer Plan (MEP) first because it was easier to put together for members. Health care is a complicated area of the industry, so we relied on Decisely to help navigate the available options. We also engaged with Gravie, the plan provider, to learn more about their product Comfort™.
Our goal was to find a national program for SCRS members. We wanted it to reduce costs for employers and employees and improve the quality of care. We needed it to be something that gave our industry a distinct advantage to help recruit entrants. We didn’t need to just compete with larger businesses in our own space; we needed to compete with industries offering more competitive benefit plans.
Q: Why did you team up with Decisely and Gravie?
Schulenburg: Decisely was the right partner because it was as important for them as it was for us to find the best plan for the industry.
Gravie’s cofounders also made it clear how important it was to change how people interact with health care. We found they could offer a sustainable plan and deliver average savings between 10 to 15% versus members’ existing plans.
Gravie’s plan utilizes the Aetna and Cigna PPO networks, which most people are familiar with. The result is a familiar experience without the familiar costs and obstacles.
Dunn: Small businesses feel the brunt of high premium costs. Because they often have a small number of employees, they are underwritten with a high premium. It’s unfair that they are not part of a scaled product. That’s what Decisely was able to offer.
We sourced health care like large corporations such as Delta Airlines or FedEx because the collision repair industry is part of an amalgamation of a group of like-minded people. We wanted a plan that could help attract people to join the industry and retain them. We’ve found that an employee will stay at a company three and a half times longer if there is a benefits plan.
Q: What makes the program unique?
Frazer: When basic needs such as primary and specialist care, labs and generic prescriptions are covered at no cost, this meets 88% of health care needs for most people. That’s a 180-degree difference from other programs.
Dunn: With traditional plans, you pay a $50-$200 co-pay as part of your premium. The SCRS plan eliminates those costs, so there is no copay, whether that’s for a doctor’s appointment, an MRI or prescription.
Schulenburg: By offering an affordable insurance plan with no co-pay, you get a healthier population with people who take their prescription drugs and go to the doctor.
This program is about giving health care solutions that people can use today. One of our early adopters employs a technician whose wife is pregnant. When the couple
Schulenburg: We encourage all employers, whether they already have a plan, to look at the available options and get a free quote. Imagine if you could leverage a 10% or 15% savings. That is a substantial amount of money that could be reinvested into your business and/or employees.
Dunn: It’s a challenging environment with inflationary concerns and high costs. This plan is great for employers to save on premiums and put money back into employees’ pockets. If you can save a family $6,000, the employee will remember that and be a cheerleader for the company.
With the savings, many employers are taking part of that money and investing it in other plans, such as vision, dental and setting up a life insurance policy.
Frazer: If you want a different result, you must do something different. Gravie’s program SCRS has secured for members is already showing results.
While the plan can help larger SCRS members, it also helps level up the playing field for small- and medium-sized members so they can compete, recruit and retain like a Fortune 500 company.
Schulenburg: There are things that SCRS does that are important as an association and there are things that we can do that really make a difference in people’s lives. This plan can change a lot of people’s lives.
For more information, visit www. scrs.com/healthcare.
Q: Why was the health care plan initiated?
During a recent collision industry seminar I was teaching, I asked if there were any technicians in the class, and several people raised their hands.
I asked them: “If I walked into your shop, and asked you if you research the procedures in the OEM repair manual before you disconnect a battery, what would you say?”
It’s a question I’d like you to consider right now as you start reading this article.
In that class, I heard one tech muttering something quietly, and I asked him what he said.
“I would say if you don’t know how to disconnect a battery, you shouldn’t be working on cars,” he replied.
That’s a fair statement, I told him. But then I took him—and the rest of the class—through the OEM procedures for a particular vehicle, showing him what that automaker states you need to be aware of before you disconnect a battery. Yet I think most of you, like that tech in my class, would acknowledge that no, you’re
not researching the OEM repair procedures before you disconnect a battery.
So let’s talk about this. First, one of the things you need to know before you disconnect a battery is whether the vehicle is connected to telematics.
Lexus Safety Connect.
What we’ve found is, in some instances, if the vehicle is connected and you disconnect the battery, it may send an alert through the telematics to the automaker to say something happened to this car’s battery. The OEM may in turn contact the customer via text or email, or sometimes even alert the dealership service department to ask them to reach out to that customer.
Your failure to research the procedures prior to disconnecting that battery just created a bad customer service experience.
So before you ever disconnect a battery, determine whether the vehicle is connected, and if so, determine if you need to place it in “service mode” first.
For one vehicle, the automaker may say you have to wait one minute, while another may say you have to wait six minutes. I’ve seen some OEMs say after you turn the car off, you have to wait 90 minutes before you disconnect the battery.
This is only going to become more important moving forward as more vehicles are “connected” to things like General Motors’ OnStar or Toyota/
Another consideration is “wait time.” Every automaker I’ve researched says you have to wait a certain amount of time after you turn the vehicle off before you disconnect the battery. It’s not a one-size-fits-all procedure.
There are often other precautions listed in the automaker battery disconnect procedures. For example, you may have to protect certain components. I saw a procedure recently that said you have to have the left front door open when you disconnect the battery. If you don’t, it can trigger some diagnostic trouble codes.
“Every vehicle manufacturer that I’m aware of has certain procedures that must be done when you reconnect a battery.”
MIKE ANDERSON COLLISION ADVICE
Okay, so you followed the disconnect procedures, repaired and the vehicle, and you’re ready to reconnect the battery. Are you researching those procedures every time as well?
I know the answer to that question because it’s something we ask about in our “Who Pays for What?” survey every year. We found less than half of you (46%) say you’re researching those procedures all or most of the time. While I would say even “most of the time” isn’t good enough, I’m even more concerned about the 41% of you who say you do it “some of the time” or “only occasionally.” And the 13% of you who said “never” are just inviting trouble.
Every vehicle manufacturer I’m aware of has certain procedures that must be done when you reconnect a battery. Some of them may be initializations, like for a one-touch feature on a window or sunroof.
I can tell you I recently saw reconnect procedures for a Ford that said the vehicle must be driven for a certain amount of time and
just on battery disconnect and reconnect procedures. We found enough content related to this topic to fill more than six hours of classroom instruction to ensure estimators and technicians understand what they need to know.
So now that you’ve read this article, I’m going to ask you again: If I walked into your shop, and asked you if you research the procedures in the OEM repair manual before you disconnect a battery, what would you say?
Oh, and another incentive for taking this important step: The “Who Pays for What?” survey found that among the shops performing the OEM battery reconnect procedures, nearly two-thirds (63%) said they are paid for that labor “always” or “most of the time” by the eight largest national insurers.
NEW PODCAST Launching Jan 2023
Junkyard and auto repair shop Progress Auto Salvage, Inc., and owner and operator Emeka K. Oguejiofor have been ordered to pay $106,044 in restitution to eight customers for violating Pennsylvania consumer protection laws. The business and Oguejiofor are also permanently prohibited from holding a junkyard and automotive dismantler and recycle license. Pennsylvania Attorney General Josh Shapiro announced the verdict Oct. 24. Shapiro said Oguejiofor, along with his business, accepted deposits and advances payments from consumers and failed to do the agreed-upon work. “This junkyard and its owner scammed people out of their hard earned money by offering rubbish agreements and never delivering the work,” said Shapiro. “This verdict should stand as a warning for all potential bad actors rip off
purchased vehicles from Progress Auto Salvage and had arranged for the company to ship the vehicles abroad. Progress Auto Salvage and Oguejiofor took $92,000 of the consumer’s money and failed to obtain the paid-for vehicles.
Another consumer in York County testified he purchased a frame for his truck and agreed to have Progress Auto Salvage install the part in February 2019. The installation dragged out for years, with Progress Auto Salvage giving many excuses as to why the installation had been delayed. In March 2022, the consumer voluntarily picked up his vehicle and noticed not only was the part never installed, but Progress Auto Salvage had also caused substantial damage to the truck and removed the catalytic converter. The lawsuit was filed and litigated in York County Court of Common Pleas by Deputy Attorney Merna Hoffman, who was assisted in the case by Senior Civil Investigator Jessica Nelson.
Source: Pennsylvania Office of the Attorney General
auto manufacturers in Maine and other states are required to provide software and diagnostic data for new vehicles.
But critics say the requirement doesn’t include real-time vehicle data,
and successful campaign in Massachusetts two years ago, said he believes that Maine voters will wholeheartedly support the proposed changes.
Under the proposal, manufacturers that sell cars made after 2002 in Maine must include an “standard access platform” that can be accessed by the owner, car dealerships and independent repair shops.
If approved, auto dealerships would be required to provide information about vehicle telematics systems to buyers through a notice to be approved by the attorney general’s office.
was 63,067 signatures, according to the secretary of state’s office. The state Legislature could also approve the proposed changes.
Under the proposal, independent repair shops would be authorized to sue auto manufacturers if they are denied access to the mechanical data. Fines could run as high as $10,000 per violation under the plan.
The proposal is likely to face a legal challenge from the auto manufacturing industry, which has in the past sued to block similar referendums in other states.
Small steps lead to big progress, and that’s the obvious lesson behind the industry’s support of the Collision Repair Education Foundation’s (CREF) Benchmark Grant program.
called telematics, which uses wireless technology to transmit data about a vehicle to certified dealerships.
“We see this as a national issue that impacts every state,” said Tommy Hickey, executive director of the Maine Right to Repair Coalition. “We believe that every independent repair shop, and more importantly every car owner, should have the right to take their car wherever they choose.”
Hickey, who led a similar
Independent shop owners frame the issue as one of consumer protection, claiming automakers fleece the public by using wireless technology to divert repair business to dealerships.
Critics argue the move is unnecessary and could compromise privacy and security for vehicle owners whose diagnostic data would be shared with third-parties.
To make the 2023 ballot, supporters would need to gather signatures from at least 10% of the state’s registered voters. In 2022, that
Massachusetts voters overwhelmingly approved a similar law in 2020 but a coalition of auto manufacturers filed a lawsuit seeking to overturn the referendum. The outcome of that legal challenge is pending before a federal judge.
Hickey said he expects a similar amount of opposition and possibly legal challenges to block the Maine proposal.
“Having a monopoly on this information is worth trillions of dollars in profits to car manufacturers, so I think they’re going to continue to fight,” he said. “But repair shops and consumers want these changes, so we’re going to continue to fight for them.”
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Thanks to the generosity of a multitude of industry partners both small and large the foundation announced 69 collision schools will receive $436,000 in Benchmark Grant funding to financially support their efforts to educate the collision industry’s future workforce.
As part of its ongoing efforts to build a better tomorrow for the collision repair industry by supporting collision schools and students, CREF is proud to announce four programs will receive substantial financial assistance in the form of the foundation’s 2022 Benchmark Grants. Each school was selected for its efforts in a unique category respective to the program.
Applications for the 2023 Collision School Career Readiness Benchmark Grants will be available online in Spring 2023.
Source: CREFDriven Brands’ collision group on Oct. 18 celebrated the opening of CARSTAR Patriot Auto Body Little Rock in Little Rock, AR—its 1,000th collision repair facility in North America.
From entering the collision market in 2015 with the purchase of 240 CARSTAR locations in the U.S., Driven Collision has quadrupled its footprint across North America in just seven years. Driven Collision now services commercial and retail customers in all 48 states within the contiguous U.S. and all 10 Canadian provinces operating under CARSTAR, ABRA and Fix Auto.
Chase Marchese is the owner of CARSTAR Patriot Auto Body Little Rock. It is his third CARSTAR location; he also owns two in Hot Springs, AR. Before entering the collision repair industry, Marchese served as a medic in the U.S. Army from 2006 to 2011, including deployments to Iraq.
He got his start in the business by managing several repair facilities for a friend, and in 2014, he became an owner of a collision repair facility. He joined the CARSTAR franchise family
in 2019.
“I decided to give it a shot, to see what CARSTAR does for me,” Marchese said. “I had just opened my second location. Now all my shops are running at maximum capacity. I opened my new store in Little Rock and was at maximum capacity within three weeks.
“CARSTAR has boosted my business,” Marchese said. “I don’t believe there is any way to have gotten to where we’ve gotten without it.”
Marchese said he aims to eventually open as many as 14 CARSTAR stores in Arkansas.
“I’m honored to be the 1,000th collision repair location in the Driven Brands family,” said Marchese. “As a businessman and entrepreneur, it is an exciting moment to be able to continue growing my business to
reach new incredible communities in this area.”
Marchese always remembered his service in the Army. He selects a veteran each quarter and repairs their vehicle free of charge.
“I’m proud to combine efforts with my paint vendor, BASF, and Driven Brands to help support a local Arkansas veterans’ charity as part of today’s celebration where we’re each donating $1,000 to Veterans Villages of America in honor of the 1,000th location,” Marchese said.
Marchese said he also hires veterans to work in his shops, as the military tends to instill two traits in its servicemembers important for working in collision repair: integrity and attention to detail.
Marchese is far from the only miniMSO owner within CARSTAR, said Dean Fisher, collision president, Driven Brands.
“Probably 40%-plus of CARSTAR stores are part of an MSO,” he said.
Sabrina Thring, collision COO, Driven Brands, said joining CARSTAR gives owners access to the model CARSTAR has built that supports MSO growth in any market.
“The sky’s the limit,” she said.
Brian Newberry, VP of development, Driven Brands, added
a lot of independent owners, like Marchese, are choosing to join CARSTAR because it has “a lot of boxes on the business plan checked off.”
“We’re a great fit for independents with a growth mindset,” he said.
Fisher said Driven Brands now has 58 ABRA locations, 766 CARSTAR locations and 186 Fix Auto locations.
He said the number adds up to more than 1,000 because Marchese opened his store in early September, and the brands have continued to grow since then.
“We’re still growing as we’re speaking,” Fisher said.
“CARSTAR has boosted my business, I don’t believe there is any way to have gotten to where we’ve gotten without it.”
CHASE MARCHESE CARSTAR PATRIOT AUTO BODY LITTLE ROCK OWNER
Since introducing Mitchell Diagnostics in 2017, Mitchell International, Inc., an Enlyte company, has received three patents for collision repair diagnostics.
The most recent patent—11,462,061—was awarded by the U.S. Patent and Trademark Office (USPTO) in October and announced by Mitchell during the SEMA Show in Las Vegas.
The company received its first auto diagnostics patent in 2018 and the second in 2021. The third patent covers the unique methods of using cloud-based technology to bring OEM procedures directly to repair technicians using a diagnostic scan tool.
“The company has continued to enhance its platform with patented and patent-pending technologies designed to assist repairers in meeting the needs of today’s complex vehicles,” said Jack Rozint, Mitchell’s SVP of repair sales. “Our Mitchell Diagnostics patents are just one example of the many things
that Mitchell is doing to support the collision industry in delivering proper, safe and efficient repairs on today’s advanced vehicles, helping to enhance profitability and customer satisfaction.”
Rozint said the latest patent covers key diagnostic workflow enhancements. These include the use of server-based technology to directly link Diagnostic Trouble Codes (DTCs) from the scan tool to the associated OEM repair procedure for that code.
With Mitchell Diagnostics, this is accomplished via connection of the scan devices to Mitchell’s cloudbased workflow infrastructure.
This feature was deployed in 2020 through an integration between Mitchell Diagnostics and Mitchell TechAdvisor.
“Linking the DTCs from the scan tool to the associated repair procedure can reduce the time it takes to blueprint and perform collision repairs,” said Rozint. “It can also support technicians in their delivery of a proper and safe repair since they have direct access to the relevant OEM procedures without having to look them up manually.”
When available, the repair procedures are delivered back to the technician on the scan device. Also included is a way for collision repair facilities to systematically document that the necessary diagnostic and repair procedures were performed. Rozint said allowing shops to upload and easily share diagnostic reports with insurance partners can help expedite claims processing and payment. In addition, repairers have the option to make those reports accessible to vehicle owners so they know the work was completed to OEM standards.
Mitchell Diagnostics was launched in 2017 for the collision repair and automotive claims markets. Through the Diagnostics as a Service (DaaS) platform and integration with Mitchell’s cloud-based solutions, repairers can receive assignments, perform scans, access more than 1,000 dynamic calibration routines, take photos, write estimates, link directly to OEM repair procedures based on DTCs, order parts and manage repair orders. They can also upload standardized scan and calibration reports as well as invoices to share with insurers.
The company said Mitchell Diagnostics has been used to perform more than 4 million pre-, inprocess and post-scans, as well as more than 50,000 dynamic and static calibrations.
At this year’s SEMA Show, Mitchell showcased enhancements made to Mitchell Diagnostics.
“The need for diagnostics in collision repair is growing as vehicles get more complex and manufacturers make Advanced Driver Assistance Systems (ADAS) standard on most new models,” said Rozint. “With our DaaS platform and cloud-based technologies, shops have the tools they need to safely return collisiondamaged vehicles to the road. They can also bring work that they used to sublet in-house, introducing new revenue opportunities for their businesses.”
The company also shared with SEMA Show attendees the enhancements made to Mitchell Cloud Estimating. These include support for the repair of electric vehicles (EVs) and a newly introduced product—Mitchell Cloud Estimating TruckMax—for estimating collision damage to medium- and heavy-duty
trucks.
He said the patent-pending EV enhancements are especially timely due to the dramatic growth in EV sales and include new features designed to streamline estimate writing for battery electric vehicles (BEVs).
Looking ahead, Rozint said the company’s focus remains on providing innovative technology that supports proper, safe and efficient collision repairs.
For more information, visit www. mitchell.com/solutions/autophysical-damage.
Autobody News EXCLUSIVE COVERAGE
By David A. Wood CarComplaints.comA Honda destination fee class action lawsuit was filed for New Jersey residents who leased or purchased a Honda vehicle from a Honda dealership between October 2016 to the present.
The lawsuit says Honda violates the Automobile Information Disclosure Act, which requires manufacturers to disclose the true cost of transporting vehicles to dealerships.
The window sticker (Monroney label) typically calls the charge a destination fee, destination charge or destination and handling fee.
According to the four Honda customers who sued, the Honda window stickers violate the New Jersey Consumer Fraud Act (CFA).
The New Jersey class action lawsuit alleges it is against the law for a Honda dealer to:
“Accept[ ], charg[e], or obtain[ ] from a consumer monies, or any other thing of value, in exchange for the performance of any predelivery service without first
itemizing the actual pre-delivery service which is being performed and setting forth in writing on the sales document the price for each specific pre-delivery service.”
Honda allegedly violates the law because the automaker does not accept, charge or obtain monies directly from a consumer for predelivery services. Instead, it’s allegedly Honda dealerships that get the money.
The plaintiffs claim the Honda destination fee has nothing to do with whether the dealership is around the corner or far away from the Honda assembly plant.
Without any itemization of the pre-delivery service being performed, New Jersey Honda customers are allegedly left in the dark. Customers are also allegedly left out in the cold as to what destination fees cover and how those fees are determined.
The class action alleges customers believe the destination fee represents the true cost of shipping a vehicle from the assembly plant to a Honda dealership.
The Honda destination fee class action lawsuit was filed by these New Jersey plaintiffs:
Shirley Dunn, Honda HR-V, paid $1,175
David Harmon, Honda Civic, paid $930
Ivan Kosin, Honda Civic, paid $1,100
Matthew Kosin, Honda CR-V, paid $1,100
The Honda destination fee class action lawsuit was filed in the U.S. District Court for the District of New Jersey: Harmon, et al., v. American Honda Motor Co., Inc.
The plaintiffs are represented by Kazerouni Law Group APC, and the Law Offices of Donovan Bezer.
and calibration software platform. He also authored a book, “Auto Industry Disruption, Who and What is Being Disrupted and What to Do About It.”
In October, Auto Techcelerators was acquired by Opus IVS™, a global diagnostics, ADAS calibration, programming and on-demand remote support company.
At the 2022 SEMA Show held in November in Las Vegas, NV, Terlep was honored for his hard work and dedication over the years. During the event, he was inducted into the Hall of Eagles, the collision industry’s Hall of Fame; received a SEMA Best New Product Award in the category of Collision Repair & Refinish; was given a Chairperson’s Award for co-chairing the CIECA Emerging Technologies Committee; and was named chairman of the Collision Industry Conference (CIC).
Autobody News recently had the opportunity to ask Terlep about his accomplishments and what he attributes his success to.
Q:What prompted the sale of Auto Techcelerators to Opus IVS and how will this impact Auto Techcelerator’s focus?
A:The sale to Opus IVS started with a phone call from Brian Herron, the CEO, inquiring if we had an interest in selling our company. After multiple phone calls and a trip to the Opus IVS office, it became apparent that our organizations had many synergies and business opportunities if we integrated Opus IVS solutions with our technolo gies. Based on the synergies and
collision, glass, truck and insurance companies can benefit from.
The acquisition will also allow us to expand the sales and marketing of our existing Auto Techcelerators CoPilot suite to existing and future Opus customers in North America, the UK and Australia.
What do you attribute your success to?
A:Humbled… honored… thank ful… When I started in this industry in 1984, I had no idea my “collision industry adventure” would take me to where I am today. When I look at the names of previous induct ees, I never thought my name would be added to this list of industry icons.
A:My new title is vice president of ADAS solutions. My focus will be on designing, developing and delivering this platform. It will also include educating the industry on the importance of proper diagnostic, ADAS, calibration and validation processes and documentation.
I am thankful and blessed to have met thousands of great people in this industry who have had a positive personal and professional impact on me and allowed me to learn from them.
opportunities, the decision to sell the company to Opus IVS was easy.
I think the acquisition will allow Opus IVS to make a much bigger impact on the industry when it comes to ADAS services, calibrations and validation. When we combine our technologies, we hope to deliver a single end-to-end diagnostic, ADAS, calibration and validation platform that everyone in the automotive,
Based on previous experiences with Auto Techcelerators and other corporations, I am sure I will be involved in other aspects of the company, such as business development, marketing, sales, etc. I want to help the company and its employees be successful.
I attribute my success to hard work, perseverance and always striving to “do the right thing,” as well as listening and being willing to help anyone who needs it.
Q: What was your reaction to receiving the SEMA New Product Award for Test Drive Co-Pilot?
A:
Congratulations on the awards you received during the SEMA Show, including being inducted into the prestigious Hall of Eagles. Only a few distinguished individuals receive this honor for their contributions toward the betterment of the industry.
Q:
I was at dinner with some of my new Opus teammates when I was told. As you can imagine, I was shocked, excited, happy and satisfied! I had to call Jordan Hend ler, the administrator of CIC, at 8 p.m. the night before the CIC meeting to reschedule my committee presen tation the next morning so I could attend the SEMA Awards Breakfast
Q: With the sale of the company, what will your new role be?
and receive the award.
When someone like me invents something from an idea and receives this type of award, it validates all the blood, sweat and tears it took to launch a product like Test Drive CoPilot.
It was also very satisfying to have Test Drive CoPilot receive runner-up in the new ADAS Product Category, be selected as a top five finalist in the SEMA Launch Pad competiton, and receive the SEMA Global Media Award.
is the importance of being involved as the co-chair of CIECA’s Emerging Technologies Committee and helping to create new standards for the collision industry?
Being co-chair of the Emerg ing Technologies Committee with Gene Lopez from Seidner’s Collision allows us to “see around the corner” on what and poten tially how “the next big thing” will affect our industry and how CIECA needs to get involved. CIECA plays such an important role in data and technology and I believe the Emerging Technologies Committee plays a critical role in helping CIECA understand and prepare for future standards.
A:I am humbled and honored to be selected as the next CIC chairman for 2023 and 2024. I know
I have a lot of big shoes to fill but I am excited about the opportunity. Darrell Amberson, the past chair, really raised the bar, so I hope to raise the bar even further. I am most excited about my opportunity to lead an or ganization and work with committed people who can positively impact the collision industry.
I have a few goals and objectives during my term. This includes continuing to “raise the bar,” as past chairs Jeff Peevy and Darrell Amberson have done over the past four years. I would also like to position CIC as THE industry event to learn from, contribute to, participate in, network, challenge industry norms, debate, have fun and leave each meeting wanting to come back. I will challenge “the body” to become more engaged, more vocal and, when appropriate, more provocative. Overall, I want to leave CIC better than it was when my term ends.
Autobody News COVERAGE
By Maria Merano TeslaratiThe City Planning Commission of South Burlington, VT, recently approved zoning changes bringing a Tesla center closer to reality. Tesla plans to refurbish a former Hannaford grocery store in South Burlington into its first dealership in Vermont. The former Hannaford property has been vacant for four years. Currently, the building is a Halloween store. Earlier this year, Tesla requested the South Burlington Planning Commission rezone the property for its dealership. The commission supported Tesla’s request but suggested rezoning other sites along or near Shelburne Road.
According to South Burlington’s Planning and Zoning Director Paul Conner, Tesla now needs the city council’s approval for its dealership. Before electric vehicles and startups like Tesla became a mainstay in the auto industry, Vermont did not permit vehicle manufacturers to operate dealerships. The state required automakers to work with
in Vermont
dealership franchise holders.
However, as electric vehicle sales picked up in the state, Vermont’s take on direct sales appeared to change. In 2021, Vermont created an exemption for any “non-franchised zero-emission vehicle manufacturer that directly owns, operates and controls the warranty or service facility.”
The legal exemption applies to EV automakers like Tesla, Rivian and Lucid. In the first half of 2022, 1,175 new EVs were sold in Vermont. As of June, 7,500 EVs were on the state’s roads, making up 6.2% of sales, said David Roberts, Vermont’s Drive Electric program coordinator. Tesla used to dominate Vermont’s EV sales. However, in the first half of 2022, Tesla sales slipped behind Toyota. Tesla recorded 210 new EV sales in the first six months of the year, while Toyota sold 228 in the same period, reported Seven Days.
Tesla will probably turn the former Hannaford grocery store into a multifunctional center for service, sales and deliveries. The center could boost Tesla’s sales in Vermont.
Q: What
A:
Q: As the new CIC chairman, what is your goal during your term and what are you most excited about?
Prestigious Awards Announced at Collision Industry Red Carpet Awards Breakfast During SEMA 2022
By Stacey Phillips Autobody NewsMembers of the collision repair industry gathered at the Collision Industry Red Carpet Awards Breakfast on Nov. 2 during the SEMA Show in Las Vegas, NV.
Prestigious awards and recognitions were given out by the Collision Industry Electronic
IVS, received a Chairman’s Award for extraordinary leadership cochairing the Emerging Technologies Committee, which has spun off several other committees to develop standards.
Enterprise Holdings was named CIECA’s Company of the Year. “The company chosen this year truly supports CIECA and its mission in many more ways than just volunteering on committees,” noted Martinez, who recognized Kim DeVallance Caron for her dedication.
CREF
Pictured, left to right, are CIECA Chairman Phil Martinez; CIECA Chairperson’s Award recipients Gene Lopez of Seidner’s Collision Centers and Frank Terlep of Opus IVS; and CIECA Executive Director Paul Barry
Commerce Association (CIECA), the Collision Repair Education Foundation (CREF), Greco Publishing, the Inter-Industry Conference on Auto Collision Repair (I-CAR), the National Auto Body Council (NABC) and the Society of Collision Repair Specialists (SCRS).
“This awards breakfast is important for our industry… and I appreciate the companies, organizations and individuals who have supported this effort,” said Jeff Peevy, the master of ceremonies and I-CAR’s vice president of technical products, programs and services. “It’s a beautiful and very respectful thing that we do to make this industry better for the future generations coming.”
The event was sponsored by participating organizations.
CIECA
CIECA Chairman Phil Martinez, senior technical consultant at Mitchell International, announced CIECA’s awards.
Three Architecture Committee members received an Outstanding Contribution Award for working on the next generation of collision industry standards—CIECA API Standards (CAPIS). They included Committee Chair Dan Webster from Enlyte, Andy Bober from Entegral and Mike Hastings from Car-Part. com.
Gene Lopez, of Seidner’s Collision, and Frank Terlep, of Opus
Brandon Eckenrode, managing director of CREF, announced Rod Habel, director of training for Sherwin-Williams, received a Fueling the Future Award, which recognizes an individual or company that has gone above and beyond helping the collision repair school program students and instructors.
“He has always been there for schools and students across the country,” said Eckenrode.
Two instructors shared what Habel’s support has meant to them and their programs. Jay Abitz from Freedom High School in Wisconsin said the generous donations from Habel and Sherwin-Williams have really changed the trajectory of their program.
Kenny McMillian from Kennedy King College in Illinois also shared his sentiment. “I would like to express my special thanks and gratitude to Rod
repair,” said Alicia Figurelli, Greco’s Publishing’s senior vice president.
“My dad passed away in May and this is a memory of him,” said Anderson. “He helped me understand what quality was and customer service, and I’m grateful for that.” He added he was truly humbled and grateful for the award.
I-CAR
I-CAR’s awards were announced by John Van Alstyne, CEO and president. Bill Condron at Sawgrass Ford received the Jeff Silver Memorial Award, named after the industry leader who was considered the
“Our mission and vision are to make the collision industry the best it can be and put on its best face for the communities where we live and work,” said Garoutte.
SCRS
During the last presentation of the morning, Danny Gredinberg, administrator of the Database Enhancement Gateway (DEG), received the 2022 March Taylor Kina’ole Award. It was presented by Aaron Schulenburg, executive director of SCRS; Barry Dorn, vice president of Dorn’s Body & Paint; Toby Chess; and Dale Matsumoto, president of Auto Body Hawaii
“This is a very special, meaningful award for all of us,” said Schulenburg.
Habel and all he has done for our program at Kennedy King College over the years, as well as everyone at Sherwin-Williams who embraced our collision program,” he said.
Greco Publishing
Mike Anderson from Collision Advice received Greco’s Publishing’s Industry Icon Award. “Our inaugural industry icon award winner is known locally, regionally, nationally and globally as the ‘go to’ in collision
Pictured, left to right, are Barry Dorn, Dorn’s Body & Paint; Dale Matsumoto, Auto Body Hawaii; Toby Chess; Danny Gredinberg, Database Enhancement Gateway, and recipient of the SCRS 2022 March Taylor Kina’ole Award; and SCRS Executive Director Aaron Schulenburg
pioneer of I-CAR Gold Class and Platinum recognition programs.
“Just as Jeff showed the difference one person can make, our award recipient believes there is something he can do about the pervasive talent shortage,” said Van Alstyne. “He’s made it a personal mission to recruit new talent in the industry he loves. Just as important, he takes the time to nurture the newcomers and support the continuing professional development of everyone he works with.”
Eveland Bros., Collision Repair, Inc., a family-owned and operated operation, received the Russ Verona Memorial Award.
“Our award-winning collision repair center invests heavily in the education of its staff who hold I-CAR Platinum credentials and are certified by ASE and dozens of OEMs,” said Van Alstyne. The business has adhered to I-CAR’s Gold Class standard continuously since 1993, making it one of a very small group of shops in the country to reach this milestone.
NABC
Rather than handing out awards, NABC President and CEO Bill Garoutte gave accolades to those in attendance and those who weren’t.
When March passed away, Schulenburg said it was important this his legacy of Kina’ole—doing the right thing at the right time for the right reasons—was honored, acknowledged and rewarded. It also became a mantra for SCRS and many others.
“True Kina’ole really happens naturally. It has a deeper meaning,” said Matsumoto. “It doesn’t happen in your head. It happens here… in your heart.”
Chess, the 2021 recipient of the March Taylor Kina’ole Award, said March was a great mentor and stood for what Kina’ole is. March regularly arrived at his shop at 5 a.m. to communicate with the information providers on times that were not right in the database.
“When he got up to 200 of them, he said, ‘I can’t do this anymore. They are coming in faster than I can handle,’” recalled Chess. That was the birth of the DEG.
When announcing the award recipient, Dorn said Gredinberg is tireless with the DEG, just like March, getting up early and staying up late to do the right thing for those who don’t have a voice. “[Danny] has shown us time and time again that he cares and he cares selflessly about what goes on and he embodies what Kina’ole is.”
“I love giving back because there was a time when I needed help and I was reaching out to resources that were available through the DEG,” said Gredinberg. “I’m very fortunate to be part of a great industry that has given me so much.”
How Will Results from SCRS ‘Blend’ Study Be Used Moving Forward?
By John Yoswick Autobody NewsWith the Society of Collision Repair Specialists’ release in November of the results of its hands-on study demonstrating that blending of a panel takes an average of 31% more time than a full panel refinish—rather than the 50% less time allocated in the three estimating systems— the association was asked during CIC where the issue goes moving forward.
“Here’s the beauty of CIC: That’s up to you,” Aaron Schulenburg of SCRS said during the conference held during SEMA in Las Vegas. “Our goal was to capture data, and present it in a transparent manner, and to share it with the industry so you can have the dialogue you need to have. I don’t know where that occurs or how that occurs, but I think there’s a big disconnect between what we’ve identified and what exists today.”
The study came about because the three estimating system providers each establish its own refinish labor allowance for any given panel, and while those labor times for the same panel may differ from one estimating system to another, all three companies use 50% as a blend calculation.
“Our members have long challenged that,” Schulenburg said this past summer, before the study was completed.
The association’s 35-page report on the study—which can be downloaded at scrs.com/ blendstudy—details how it was conducted, with painters employed by each of the five major paint companies following their company’s process guidelines for spraying both a full refinish and a blend panel using the same paint colors on new F-150 panels supplied by Ford.
close the [percentage differences] are among all of the companies,” Robb Power, senior manager of refinish solutions for PPG, said at CIC. “I would have never thought it would come in that close. To me, that adds validity to what we see in those results.”
Schulenburg said it’s clearly an issue that needs to be addressed with the information providers, who
the employee who handed out that card may get $500, for example, “and if they stay another six months, they get another $500,” Guthrie said. “Whatever the promotion is that you want to come up with within your own shop. The recruitment card has been a neat little tool for us.”
Guthrie said his company tries to have six to 12 entry-level employees participating in its “earn while you learn” program, which uses a basic curriculum that “starts with the simple EPA/OSHA stuff, and then goes through bumper tools, door panels and bumper repair.” Students learn a skill, then can use it in the shop.
“It takes somebody off the street, teaches them the basics, the theory, and then they go put it into practice,” he said.
Once a student in the program can demonstrate the skill, and has the tools to perform it, they are “signed off for that particular function, whether it’s drilling spot welds or whatever.”
even among insurance companies receiving a similar grade.
Not surprisingly, some of the reasons commonly cited by shops for giving an insurer a low grade were payment-related issues: an insurer seeks “unreasonable” discounts on parts or labor, or is viewed as “slow to pay.”
However, many of the reasons are primarily process-related rather than payment-related. While only 3% of shops grading one insurer said
Across all colors, the average blend time among the five paint lines were between about 128% and about 134% of full refinish time.
“What’s remarkable to me, with all the different [paint] companies and [their] different processes, is how
were invited to attend the SCRS study but who were “not present” over the two days. He said he feels it is an appropriate topic for CIC’s Paint and Materials Committee to address moving forward, but regardless, he said, it “can and should be addressed with the information providers [as] an issue that has been brought to them through our work with different associations…for years.”
“That was the goal from the onset, to capture credible data, to have real conversation, that helps motivate positive change in the industry,” Schulenburg said.
Attracting and Training New Employees
Another panel discussion at CIC in Las Vegas focused on employee recruitment and retention.
Jim Guthrie, president of Car Crafters, which operates five shops in New Mexico, said his company uses a “recruitment card” as part of its effort to attract new employees. Guthrie said all his employees have the cards, which include a QR code that can be scanned to link to the company’s “career page” where someone can fill out and submit an application.
Guthrie said collision repair businesses can develop an internal promotion to encourage employees to hand out the card to potential hires. If a referred potential employee gets hired and stays for six months,
Within two or three years, he said, students are “advanced to a point where they’re basically a B-tech. It’s a way they can earn while they learn.”
Reasons Why Insurers Receive a Low Grade
Also at CIC, John Yoswick of CRASH Network shared data from that publication’s annual “Insurer
they gave that insurer a “C-” or lower because they view that company’s claims staff as inexperienced or poorly trained, for example, more than one in four shops cited that as the reason they gave one of the other insurers a similarly low grade. Almost 80% shops said one insurer requires more digital images than other insurers, but only 27% of shops felt that was true about one of the other insurers receiving a similar low grade.
These findings, Yoswick said, offer insurers “something of a roadmap for improving their relationship with shops without thinking that the only thing that would make shops happier is paying them more money.”
Change in CIC Leadership
Also at CIC in Las Vegas, Darrell Amberson was recognized at the end of his two years serving as chairman of the conference.
Report Card” survey, showing the reasons shops give some insurance companies’ claims practices a lower grade can be based more on the processes that insurer uses rather than payment-related concerns.
The Insurer Report Card allows collision repair professionals to grade the insurance companies they interact with based on how well each carrier’s policies and practices help ensure quality repairs and customer service. The data shared at CIC, from a prior year’s survey completed by more than 1,100 shops, showed differences exist
“We want to thank you for all you’ve done because you’ve certainly raised the bar,” Jeff Hendler, a past CIC chairman who has been CIC administrator, told Amberson.
“Together with our committees and chair people, we work to elevate our industry to higher levels of performance, professionalism, technical expertise and business acumen,” Amberson said of CIC in his closing comments. “I believe we are making a difference.”
Frank Terlep of Auto Techcelerators will begin his term as CIC chairman at the next meeting, being held Jan. 19 in Palm Springs, CA.
“That was the goal from the onset, to capture credible data, to have real conversation, that helps motivate positive change in the industry.”
AARON SCHULENBURG SCRS EXECUTIVE DIRECTORDarrell Amberson was recognized at CIC in Las Vegas as he concluded his two years as chairman of the conference
TrueCar, Inc. awarded U.S. Marine Corps Vietnam veteran Leonard “Len” Johnson of Philadelphia, PA, with a new retrofitted vehicle through its DrivenToDrive initiative.
The initiative is made possible in partnership with DAV (Disabled American Veterans) and AutoNation, America’s largest automotive retailer.
While serving, Johnson, 74, received multiple shrapnel wounds to his face, legs and feet during a firefight and, as a result, lost the use of his left foot and has limited mobility in his right leg. Following his military career, Johnson has continued to support his fellow veterans as well as his broader community through volunteering.
To honor his bravery and commitment to others, Johnson was presented with a new Chevy Traverse at a TrueCar DrivenToDrive event to help ensure he can continue his important service and volunteer work.
“I’m so grateful to the TrueCar team for selecting me for this honor,” said Johnson. “I feel good knowing that I can finally retire my 20-yearold car and continue my service to
the community with this donation.”
Johnson is a service officer for his local DAV chapter, where he advocates for disabled veterans who are seeking the benefits they earned as a result of their sacrifices.
Johnson uses his own vehicle with over 300,000 miles to pick up items from his fellow veterans’ homes
National Defense Medal, Combat Action Ribbon and Presidential Unit Citation.
“We’re honored to have the privilege to celebrate Marine veteran, Lance Corporal Len Johnson, who not only served in Vietnam but continues to serve various communities, including his fellow veterans,” said Mike Darrow, president and CEO of TrueCar. “Johnson’s continued commitment to service is admirable, and we’re thrilled to be able to help him continue his mission by awarding him this new vehicle.”
changing support for veterans who want to get back behind the wheel and regain their independence and freedom. We appreciate TrueCar’s dedication to the veteran community and DAV’s mission.”
TrueCar teamed up with ACERTUS, an omnichannel automotive logistics platform with the shared commitment of supporting American military veterans, to deliver the vehicle to Johnson’s home in Philadelphia.
and deliver them to the local DAV office. He also helps veterans who are incarcerated by assisting them with delegating a portion of their financial benefits to living relatives.
Each year, Johnson also uses his vehicle to drop off toys to the children at his local Catholic Workers Orphanage. For Johnson’s bravery and service, he’s been recognized with the Purple Heart Award, Republic of Vietnam Cross of Gallantry, Good Conduct Medal,
TrueCar’s DrivenToDrive initiative was started in 2016, inspired by U.S. Army Ranger and DrivenToDrive ambassador Cory Remsburg, who was severely injured while serving in Afghanistan. The program is designed to honor the sacrifices made by the members who serve and their families by supporting their mobility needs. This marks the eighth consecutive vehicle awarded through the DrivenToDrive program.
“DAV is grateful for our longstanding partnership with TrueCar,” said Marc Burgess, DAV CEO. “The DrivenToDrive initiative provides life-
“AutoNation is pleased to partner with TrueCar on the DrivenToDrive initiative again this year. We’re honored to recognize Lance Corporal Len Johnson for his service and present him with a brandnew vehicle,” said Marc Cannon, executive vice president and chief marketing officer at AutoNation. “We are proud to support military members and positively impact the lives of disabled veterans.”
For more information about DrivenToDrive, its mission, past recipients and ways to get involved, visit www.truecar.com/ driventodrive/.
Source: TrueCarto the complaint, Passport also discriminated against Black and Latino consumers by charging them higher financing costs and fees, in violation of the Equal Credit Opportunity Act and the FTC Act.
To settle the case, the defendants will pay $3.3 million and will change their business practices in ways that should cause others in the industry to take notice.
Passport operates nine dealerships in the Washington area. And yes, if the name sounds familiar, Passport was the subject of an FTC action in 2018, charging the company with sending phony “urgent recall” notices that were really just sales promotions.
In the just-announced case, Passport ads conveyed to consumers they could buy certain inspected, reconditioned or certified vehicles at specific prices. However, the complaint alleged, in many instances, when a consumer tried to buy a car for the advertised amount, Passport’s double-talk---and double pricing— kicked in. Despite the claim the advertised price included the cost of certification, inspection, etc., the FTC said Passport packed on hefty additional—and redundant—fees for
those same services.
The complaint cited examples of just how Passport’s tactics walloped consumers in the wallet. For example, one Passport dealership advertised a certified pre-owned Nissan Rogue for $24,050. However, Passport later charged the buyer an additional $2,390 in fees, purportedly required for reconditioning and certification. The upshot: the consumer had to pay $26,440 due to the double charges.
But the deception didn’t end there. In numerous instances, Passport falsely told prospective buyers those extra reconditioning, inspection, preparation and certification fees were mandatory, despite what Passport said in its ads—and despite the fact many manufacturers’ policies prohibit dealers from separately charging for the cost of certification.
The FTC also alleged Passport violated the Equal Credit Opportunity Act and the FTC Act by imposing higher borrowing costs on Black and Latino consumers when compared to non-Latino White consumers.
To put the discrimination allegations in context, here’s some background on the vehicle financing process. Dealerships like Passport often arrange financing for customers by reviewing their credit applications and credit reports, and then submitting the applications to one
or more finance companies. Those companies get back to Passport with a specific “buy rate”—the risk-based interest rate the company will offer for that transaction.
In some instances, the finance company allows Passport to add another charge, called a markup. But unlike the buy rate, the markup isn’t based on the individual’s credit record. The complaint alleged Passport’s policy was to charge a standard markup of 2%, but gave employees discretion to reduce or eliminate the markup for certain reasons. Passport supposedly required approvals and audits, but the FTC said Passport didn’t actually follow its policy.
According to the FTC, Passport’s discretionary use of markup rates— charging some consumers the markup, but not others—resulted in charging many Black and Latino consumers more than non-Latino White consumers.
For example, among thousands of consumers who received financing through Passport between August 2017 and August 2020, when compared to non-Latino White consumers, Passport charged Black consumers, on average, about $291 more in interest, and Latino consumers, on average, about $235 more. In addition, Black consumers
were charged the maximum markup approximately 47% more often and Latino consumers approximately 38% more often than non-Latino White consumers.
The complaint also alleged Passport charged Black and Latino consumers even more in those tacked-on junk fees. The FTC said when compared to non-Latino White consumers, Black consumers paid, on average, approximately $82 more and Latino consumers approximately $81.
In addition to the $3.3 million financial remedy, the proposed stipulated order will make sweeping changes in how Passport does business, including a broad prohibition on misrepresenting the costs or terms to buy, lease or finance a car and a requirement the defendants get consumers’ express, informed consent before charging them any fees.
The proposed order explains the changes in detail, but one provision related to the Equal Credit Opportunity Act deserves particular attention. In addition to implementing a Fair Lending Program, the defendants have agreed each Passport dealership will either charge no financing markup or will charge the same markup rate to all consumers.
In other words, the defendants are prohibited from charging different groups different markups. That provision addresses the FTC concern that Passport was using the discretionary markup rate to discriminate against consumers on the basis of race and ethnicity.
There’s a lot for other companies to glean from the FTC action against Passport.
Conduct an ECOA compliance check. This is the latest in a series of recent FTC actions to enforce the Equal Credit Opportunity Act. ECOA has been the law of the land for almost 50 years and businesses have no excuse for continuing pernicious practices that violate the statute.
Corporate officers: The buck stops with you. In addition to naming corporate entities, the complaint named in their individual capacities Passport’s owner, Everett A. Hellmuth III, and Jay Klein, vice president of seven of the Passportrelated companies. The complaint explained in detail their involvement in the conduct challenged as illegal and alleged Passport didn’t take appropriate corrective measures even when possible law violations were called to their attention.
For example, according to the FTC, “Despite these multiple emails
and text messages informing them of Passport’s practice of charging consumers bogus fees, Hellmuth and Klein have allowed the practice to continue.”
Furthermore, Passport received letters from finance companies raising “statistically significant differences in the markup rates charged to Black borrowers at two separate Passport dealerships,” but the FTC said Passport “took no steps to modify its discretionary markup policy or practice.”
When implementing corporate policies, practices—not paper— are what matters. According to Passport’s written policy, any deviations from the standard markup had to be recorded on a certification form, signed by the sales person and reviewed by another employee. The written policy also required random monitoring of credit offers and periodic audits of credit sales.
Sounds good on paper, but the FTC said Passport didn’t walk the walk. A document that looks nice in a file folder won’t paper over illegal practices on the sales floor.
Discriminatory conduct can be “unfair.” In addition to alleging Passport’s discriminatory finance practices violate ECOA, the FTC alleged the practices were unfair under the FTC Act. That makes
sense.
Passport’s discriminatory conduct injured Black and Latino consumers’ wallets: They paid more than White consumers to finance their car. They couldn’t reasonably avoid being charged more by Passport. The FTC said Passport didn’t disclose the markups and didn’t tell the truth about the fees. And the practice of charging those consumers more doesn’t yield countervailing benefits.
Source: FTC
WIN Opens Nominations For MIW Awards
The Most Influential Women (MIW) awards, presented annually by the Women’s Industry Network (WIN), are among the most prestigious honors bestowed in the collision repair industry.
Nominations for the 2023 MIW awards opened Nov. 1 and will be accepted through Jan. 6.
Nominations of women working in any segment of the collision repair industry across the U.S. and Canada are welcome, and the recipients will be recognized at the annual WIN Educational Conference, scheduled for May 1-3, 2023, in San Antonio, TX.
Nominees are reviewed and interviewed by an independent selection committee, and are selected based on established criteria, including industry influence, professional accomplishments, mentorship and community service.
More information is at bit.ly/ MIWnominees
Source: WIN
The Women’s Industry Network (WIN) is excited to announce it is kicking off its 2023 sponsorship campaign.
The organization, which provides great networking and connection opportunities for women in a male-dominated collision industry, announced this year’s sponsorship campaign is vital to the organization’s goal to attract, retain and advance women in the collision repair industry.
Sponsors of WIN are industry leaders from every collision repair business segment who value the network’s mission of achieving industry sustainability through accessing the talent, skill, mindset, energy and drive of women in the talent pool. Numerous sponsor level opportunities exist for WIN supporters, with various features and benefits available for all six program tiers, including complimentary oneyear memberships; annual education conference passes; event, website and social media platform recognition; and WIN new member orientation kits.
Visit thewomensindustrynetwork. site-ym.com/page/Become_a_ sponsor or email sponsorship@ womenindustrynetwork.org.
Source: WIN
Biden Touts Investment in Pennsylvania’s Infrastructure
By Anthony Hennen The Center SquarePresident Joe Biden, in a visit to Pittsburgh, PA, on Oct. 20, touted his administration’s infrastructure investments in front of an almostcompleted Fern Hollow Bridge that collapsed nine months ago.
The president spent most of his time emphasizing federal funding for infrastructure projects ranging from roads and bridges to railroads, service pipes, airport terminal upgrades and broadband internet.
“For most of the last century, we led the world by a significant margin because we invested in our people, we invested in ourselves, we invested in our land,” Biden said. “Along the way we stopped doing that. But not anymore. We’re back on track.”
He touted the federal money from the Infrastructure Investment and Jobs Act that came to the commonwealth.
“Pennsylvania alone has already received $5.2 billion just this year for hundreds of projects across the commonwealth, and
that’s just announced another $2.5 billion to fix and upgrade Pennsylvania’s roads and bridges, and there will be billions more for other projects,” Biden said.
The legislation, passed in November, provided $1.2 trillion in funds for a variety of projects.
“For too long, we’ve talked about building the best economy in the world and the best infrastructure in the world,” Biden said. “Now, we didn’t do it, but we’re finally getting to it, we’re getting it done.”
Biden was joined by leading Democrats to include Gov. Tom Wolf, Lt. Gov. John Fetterman and U.S. Rep. Conor Lamb
“The collapse of the Fern Hollow Bridge was a visceral reminder that Pennsylvania, like many states, is in a race against time to repair aging infrastructure,” Wolf said in a release. “This problem isn’t unique to our state, but we need solutions urgently—because our communities deserve to know that they can rely on the safety of the bridges, roads and other infrastructure they use every single day.”
Biden also argued the spending will shore up infrastructure and give a boost to most Americans.
“This law’s about more than rebuilding our infrastructure, it’s about rebuilding the middle class,” he said.
He also connected America’s state of repair with patriotism.
“When you see these projects in your neighborhoods … I want you to feel the way I feel: pride. Pride in what we can do when we work together, and that’s what I mean when I say we’re building a better America,” Biden said.
New Hampshire Businesses Get Break on Unemployment Taxes
By Christian Wade The Center SquarePayroll costs of New Hampshire businesses will be cut dramatically with the state moving to reduce unemployment insurance taxes.
The New Hampshire Employment Security announced it will be lowering required payments into the state’s unemployment insurance system by 30% with the balance of the trust fund that pays out jobless benefits rising above prepandemic levels.
The reduction is required under a new state law that triggers a reduction in contributions employers pay for unemployment coverage if the fund stays above $250 million for more than a
destination” for businesses.
“It is no accident New Hampshire has experienced an explosion in businesses calling the state home since the pandemic,” he said in a statement. “We have established a track record of showing that we can lower taxes while maintaining a solvent, dependable unemployment fund.”
Unemployment benefits in New Hampshire are capped at 26 weeks, though most people only qualify for less. How much someone gets from unemployment depends on a number of factors, but the weekly benefit generally amounts to half of someone’s regular wages. The maximum weekly benefit is $427, according to state data.
New Hampshire’s labor market
The state distributed nearly $2 billion in federal and state unemployment benefits to more than 175,000 laid off workers during the pandemic. About $300 million of that came from the state’s unemployment insurance fund paid by employers.
But it was also one of the first states to pull out of the federal pandemic unemployment programs, cutting off sidelined workers from additional benefits before they expired.
Sununu also reinstituted a work search requirement for jobless beneficiaries—which was suspended during the height of the pandemic—to continue receiving unemployment benefits.
SPARTAN Group Now Includes SCRS Membership
Collision Advice’s SPARTAN 300 has become the first performance group to join the Society of Collision Repair Specialists (SCRS) on a per-location basis.
The Collision Advice SPARTAN 300 met in September, and the members unanimously voted in favor of every one of the 20 Group members automatically becoming a member of SCRS, as part of the SPARTAN 300 membership requirements.
In addition to the SCRS membership, SPARTAN 300 members also receive an invitation to attend the annual Collision Advice Symposium, monthly training webinars, access to resources like the Collision
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Lia Honda of Enfield Enfield 800-221-3131 860-741-3401
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Berlin City Honda South Portland 800-640-6685 207-774-6685
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IRA Honda Saco Saco 207-391-7910 207-282-0900
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Criswell Honda Germantown 240-864-0880
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Boch Honda
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Clinton Honda Annandale 877-657-2787
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Honda of Turnersville Turnersville 800-883-0002 856-516-6262
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ALLDATA’s ADAS Quick Reference Tool Receives SEMA New Product Award in ADAS
By Stacey Phillips Auotbody NewsFounded in 1986, ALLDATA is known for providing OEM automotive repair and collision information. The company said more than 400,000 technicians use ALLDATA’s software solutions for faster diagnostics, updated OEM information covering 95% of vehicles on the road, and simpler shop management.
At the November SEMA Show in Las Vegas, NV, ALLDATA received a 2022 SEMA New Product Award in the Advanced Driver Assistance System (ADAS) category for its new ADAS Quick Reference tool. The annual awards program recognizes cutting-edge new products introduced to the automotive specialty-equipment market.
The company previously received a PTEN Innovation Award this year.
During the show, ALLDATA representatives shared information about the company’s latest enhancements and provided live demonstrations of its OEM repair information products, diagnostic tools and shop management software, including ADAS Quick Reference, ALLDATA Inspections,
and its new partnership with Nexpart Multi-Seller.
“We’re always looking for ways to help shops boost productivity and streamline the workflow process,” said Satwinder Mangat, president of ALLDATA.
Autobody News had the opportunity to talk to Mangat about the award and the company’s new products.
Quick Reference tool links directly to the ADAS system or component by name, such as Backup Camera or Lane Departure System. It also provides the location of the component, identifies removal/
components.
Having all the ADAS information in one place helps shops save time and prepare more accurate estimates and detailed blueprints based on OEM requirements and procedures.
Q: What did you showcase during the
SEMA Show?
A:We were thrilled! ADAS was a huge topic at SEMA, and we were honored to be recognized for this latest update to ALLDATA Repair® and ALLDATA Collision®, which makes it easy for customers to find ADAS repair information in one place.
A:ALLDATA’s ADAS Quick Reference provides one-click access to vehicle-specific ADAS information direct from the OEMs.
Shops can easily filter by system, component or location. The ADAS
replacement requirements that could result in extra labor for calibration or sublet costs, and displays basic calibration information, required tools and prerequisites for servicing ADAS
A:It was great to be back in full force for the first time since 2019. There was a ton of buzz about ADAS this year. That was certainly the case at the ALLDATA booth, where attendees lined up for demos of the new award-winning ADAS Quick Reference tool.
We were also excited to showcase our new partnership with Nexpart Multi-Seller. The tool makes it easy to add parts from leading vendors to an estimate, check local product availability in real-time, and quickly order from preferred suppliers.
ALLDATA Shop Manager now includes Nexpart Multi-Seller parts ordering, providing 24/7 access to leading suppliers in one place, including the AutoZone catalog.
In addition, show attendees could see how ALLDATA Inspections, another new tool, enables shops to jumpstart the customer check-in
Q: What was your reaction to receiving the SEMA New Product Award?
Q: What are some features of the product that will benefit collision repair shops?
process curbside and perform digital vehicle inspections (DVIs).
A: ALLDATA Inspections makes it easy to greet customers at the vehicle, look up or add a new customer, check off a digital inspection sheet, and email it to the customer—all in minutes.
flexibility to check in customers at their vehicles, identify services that are required or due soon, and deliver trustworthy advice on the spot for a better overall shop experience.
A:We’re excited about ALLDATA Find-A-Fix, a new information source that provides topranked diagnostic solutions for a specific vehicle and Diagnostic Trouble Code (DTC) based on data-driven analysis for trusted repairs. It’s currently included at no additional cost for a limited time with ALLDATA Repair® and ALLDATA Collision®.
Russ Robson Scholarship Award
As part of the Alliance of Automotive Service Providers of New Jersey’s (AASP/NJ) Annual Meeting held Oct. 19 at Gran Centurions, Clark, NJ, Patrick Crome, a Mercer County Vocational School student employed by Compact Kars in Clarksburg, NJ, was named the recipient of the 2022 Russ Robson Scholarship Award.
Receiving the scholarship award was “pretty special” to Crome. The up-and-coming technician plans to continue his training and is committed to building a career in collision repair.
The tool works with ALLDATA Repair®, ALLDATA Collision® and ALLDATA Shop Manager, so that the entire service team can share customer and vehicle documentation
Another product on the horizon is ALLDATA Repair Forecaster. It generates a list of known failures for the next 12 months or 10,000 miles based on year/make/ model/engine (YMME), location and odometer reading. This allows customers to use information from ALLDATA to share predicted repairs with customers.
“Russ was a big supporter of training, and he taught part-time at the Mercer County Vocational School where the recipient of the Russ Robson Scholarship Award is a student,” said AASP/NJ Treasurer Tom Elder, of Compact Kars, of the former president.
“Patrick came to us as someone interested in learning about our industry, and he does a great job working in our shop.”
As the industry has been facing a technician shortage nationwide, young people coming into the fold is something that must be encouraged and celebrated as the association did that night.
Elder reminded the audience, “There is not one person in this room who can say that every position in their shop is filled by someone who is good and qualified. We have to look wherever we can to find someone and train them.”
For more information about AASP/NJ, visit aaspnj.org.
Source: AASP/NJ
Q: How will ALLDATA Inspections help collision repairers?
Q: Is there anything you would like to share about ALLDATA’s future focus?ALLDATA team members at the 2022 SEMA Show included, left to right, Christopher Mochan, Ric Martinez, Robert Gomez, Pat Castillo, Daniel Dimapasoc, Bryan Goux, Ryan Deugaw, Diane Flood, Crystal Brahm and Terry Louizos
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Classic Collision, LLC, a leading national multi-site collision repair operator based in Atlanta, announced two new closings Nov. 4 the acquisition of Smitty’s Collision in Mooresville, NC, and a CARSTAR Franchise in Houston, TX.
Smitty’s Collision opened its doors 20 years ago with a commitment to bring quality repairs to the Mooresville area.
“We used the most up to date technology to return vehicles to pre-collision condition with a staff that had over 100 years of experience in the collision repair industry, and excited to be a part of the Classic growth in North Carolina,” said Kenny Barber, former owner of Smitty’s Collision.
The Premier CARSTAR was family-owned and dedicated to exceptional customer care throughout the repair process.
“We were absolutely committed to being the industry’s best in attending to our customer’s needs, and confident that Classic Collision will continue
that same commitment to the Houston area,” said Kal Shaban, former owner of Premier CARSTAR.
Maryland Auto Insurance Participates in Disaster Recovery Emergency Management Program Facilitated
As the insurance industry continues to recover from the impact of the pandemic and recent natural disasters, Maryland Auto is taking proactive steps to ensure it is able to provide continual access to insurance for Maryland drivers and uninterrupted claims support in the event of an emergency.
Director Al Redmer Jr. “Between the pandemic and the increasing frequency of devastating natural disasters, it is critical to develop a response plan in advance and to make sure all key stakeholders are familiar with the plan.”
“We are pleased to welcome both Smitty’s Collision and CARSTAR’s team to the Classic family. We recognize their high service standards and look forward to advancing that once again in Texas and adding our third location in North Carolina market,” said Toan Nguyen, CEO of Classic Collision.
Source: Classic Collision
The Maryland Department of Emergency Management (MEMA) facilitated a training exercise Nov. 1 at Maryland Auto’s headquarters in Baltimore. Leaders from Maryland Auto’s Claims, IT, Auditing and Communications departments collaborated to address mock scenarios such as storm damage and cyberattacks. During both scenarios, each department reviewed their Operational Support Plans to identify gaps and areas for strengthening preparedness plans.
“Recent years have demonstrated the importance of being prepared for a disaster or disruption to normal operations,” said Maryland Auto Executive
Subject matter experts from the State Continuity Program led this training that included plans for the appropriate course of action to take in the event of natural disasters such as a tropical storms or manmade emergencies such as cyber-attacks. Exercises were scenario-driven and geared to facilitate discussions about existing plans, and policies to respond to presented threats.
“We were absolutely committed to being the industry’s best in attending to our customer’s needs, and confident that Classic Collision will continue that same commitment to the Houston area,”
KAL SHABAN FORMER OWNER OF PREMIER CARSTAR
747 Chase Rd. (Rte.13) Lunenburg, MA 01462
Ph: 800-322-1241 Fx: 978-582-9841
Mike Kaufmann Inducted Into AASP/NJ Hall of Fame
During the Alliance of Automotive Service Providers of New Jersey’s (AASP/NJ) recent Annual Meeting, Mike Kaufmann of the Mike Kaufmann Dealer Group became the newest inductee into the association’s Hall of Fame.
Kaufmann has devoted his career to automotive parts distribution and is well-known throughout the Garden State for his work.
Upon presenting him with the honor, AASP/NJ Treasurer Tom Elder recalled meeting Kaufmann 30 years ago when the future Hall of Fame inductee worked as a parts manager at a dealership. Right away, he knew Kaufmann was a “pretty sharp guy.”
Elder referred to Kaufmann’s presence in the industry as “quite a force,” as he went on to start the Mike Kaufmann Dealer Group and has offered a helping hand to body shops for more than 20 years.
Kaufmann also works with Auto Body Distributing, Co. and serves as an allied AASP/NJ board member. He was re-elected
NABC
At the 2022 NABC® Annual Meeting, the National Auto Body Council held its board elections for the upcoming year.
In addition to re-electing four members whose terms were expiring, it also welcomed three new members to the NABC Board.
Active members in attendance at the in-person and virtual NABC annual meeting had an opportunity to vote on the board members to guide the organization forward over the next three years. Newly elected board members include Justin Clark, senior director of sales–U.S., LKQ; Kyle Medeiros, business solutions manager, Entegral; and Roy Schnepper, president, Butler’s Collision.
The re-elected board members include: Doug Schlueter, principal, MSO business development, I-CAR; Matt Immerfall, CEO, All Star Auto Lights; Scott Sampley, vice president of the Replacement & Leisure Division, Enterprise Holdings, Inc.; and Alan Scrimager, senior lending officer, Pinnacle Financial Partners.
Source: NABC
to a three-year term during the Board of Directors elections also held during the meeting.
“I was so humbled,” Kaufmann reflected on the induction. “I’ve been in this industry for 45 years, and I really love what I do, so it’s quite rewarding to be acknowledged in this way. This honor has made the ride well worth it.”
Kaufmann said one of the best decisions he’s ever made was becoming a member of AASP/ NJ’s Board of Directors.
“I don’t own a body shop, but I know a lot of what they go through from being part of the group and serving on the board,” he said. “That understanding has benefited me in my own business as I am able to relay my knowledge when working with dealerships. I respect the knowledge and expertise of everyone on the board and have made great friends.”
For more information on AASP/NJ, visit aaspnj.org.
Source: AASP/NJ
New-Vehicle Monthly Payment Hits Another Record High in October
New-vehicle affordability declined again in October with auto loan rates reaching a 20year high as prices increased slightly, according to the Cox Automotive/Moody’s Analytics Vehicle Affordability Index.
The number of median weeks of income needed to purchase the average new vehicle in October increased to 42.8 weeks from an upwardly revised 42.6 weeks in September.
Average Monthly Payment for New Car Hits Another Record High
Supporting affordability, median income grew 0.4%, and incentives from manufacturers increased. All other factors moved against affordability.
The average price paid for a new vehicle in October increased by 0.2% to $48,281, according to Kelley Blue Book. The average interest rate increased another 30 basis points. As a result of these moves, the estimated typical
monthly payment increased by 1.1% to $748, a new record high.
“Higher rates are already shifting access to vehicles and financing towards wealthier consumers,” said Cox Automotive Chief Economist Jonathan Smoke. “Affordability will be challenged for years to come in both the new and used markets. It’s not the Fed’s fault, but it will impact consumer access to transportation.”
New-vehicle affordability in October was much worse than a year ago when prices were lower, incentives were higherand interest rates were much lower. The estimated number of weeks of median income needed to purchase the average new vehicle in October was up 7% from last year when the index stood at 40 weeks.
The next update of the Cox Automotive/Moody’s Analytics Vehicle Affordability Index will be published Dec. 15.
Source: Cox AutomotiveOne of the biggest challenges for collision repair shops across the country is locating OEM repair procedures quickly and costeffectively. To help technicians find the information they need to fix a car properly, SUN Collision Repair Information software was created in 2019 by SUN®, a brand of Snap-on® Incorporated.
Fast forward to the 2022 SEMA Show in Las Vegas, where the company shared information about the ease in which its software can help repairers locate OEM repair procedures and advanced driver-assistance systems (ADAS) information to help increase efficiency and profits.
“Some vehicles aren’t repaired properly using OEM procedures,” said Chris Bonneau, business manager for SUN. “That could put somebody’s life at risk. We want to make it easier and simpler for shops to fix cars faster, and according to OEM specifications, so they are safe to drive.”
Since the launch of SUN Collision, Bonneau said the company has
been working to ensure the product is user-friendly for technicians and shops, so they can spend less time with the software program and more time fixing vehicles.
“When they are in our program, they aren’t making money,” said Bonneau. “We want them to get the information they need from the OEM and translate that into the repairs, so they aren’t having to spend so much time searching for the content and the right procedures.”
While talking with shops, Bonneau learned many think information is difficult to find because each website is configured differently and requires a unique login. “They also feel they can’t afford to pay for multiple OEM subscriptions,” said Bonneau. “SUN Collision is a cost-effective way to access information in one place.”
The web-based, mobile-friendly product provides comprehensive OEM repair information and procedures for body and frame, paint and finish, and materials for all makes and models of vehicles. To help users find information quickly, the 1Search Plus search engine presents information in a graphical layout. The product also provides interactive wiring diagrams and a link to ADAS
information.
“As ADAS technology becomes more complex and interconnected, repairing ADAS-equipped vehicles presents a greater challenge for collision repair shops,” explained Bonneau.
He said SUN Collision provides the details needed to make it easy to diagnose, repair and calibrate ADAS components such as sensors, cameras, radar systems and control modules.
The database includes a complete lineup of OEM-licensed procedures for both collision and mechanical repairs for 26 standard makes, and is updated regularly. Collision information covers 2004 through 2022 vehicles, and mechanical information dates back to 1964.
Bonneau also shared information about the Tru-Point™ ADAS calibration system launched in January 2021 by John Bean, part of the Snap-On family. The company recently announced purchasers of the calibration system will receive a complimentary two-month subscription to SUN Collision.
“Together, SUN and TRU-Point products provide an all-in-one solution for OEM collision and repair
procedures to help technicians increase productivity,” said Bonneau.
In September, the company announced its partnership with Collision Automotive Repair Services, Inc. (CARS) to offer its collision repair information to members at a discounted price.
Established in 1992, CARS is a stock-based business cooperative that brings collision repair facilities together with vendors and suppliers to gain discounts, rewards, and training on products and services used in their shops.
“We’re excited to partner with the CARS Cooperative and offer a substantial discount to members throughout the United States,” said Bonneau. “Not only will members greatly benefit from the auto repair software, but they’ll also receive a customized training program and best-in-class support to help improve productivity and grow their bottom line.”
For more information, visit suncollision.com.
WMABA Hosting Meeting With Up and Coming Techs of NVCC on Dec. 15
Join fellow WMABA members and area shops Dec. 15 for a holiday season get-together including a tour of Northern Virginia Community College’s collision repair education program and a class presentation.
The NVCC collision program is geared to bring new repair techs into the industry, and it is crucial to developing continued interest in collision repair as a career field. As association members, WMABA wants you to be supportive and involved wherever you can.
Special guest presenter Michael Bradshaw from K&M Collision will be giving insight with his session, “Repairer to Repairer:
Stop Estimating and Start Repair Planning.” Bradshaw will go over the difference between the two, blueprinting, identifying structural repairs and more.
The tour and networking will begin at 6 p.m. at NVCC, 5000 Dawes Ave., Room 107, Alexandria, VA 22311. Dinner is provided.
The event is free for WMABA members and $55 for nonmembers.
Registration is required at www.eventbrite.com/e/ wmaba-member-meetingtickets-465196283607
Source: WMABAMinnesota Law Firm Files Class Action Complaint on Behalf of Kia and Hyundai Theft Victims
Hellmuth & Johnson announced its clients have brought a class action against Kia America, Inc. and Hyundai Motor America following a nationwide rash of thefts that revealed a major defect in certain Kia and Hyundai models.
According to the complaint, Kia and Hyundai did not install engine immobilizers in many of their vehicles produced before November 2021. These vehicles are now sitting targets and continue to be frequently stolen across the country.
Manufacturers have regularly installed engine immobilizers in vehicles for decades as a common theft deterrent. Engine immobilizers prevent the engine from starting without using the vehicle’s authorized key. The system is based on a unique key or fob that contains a transponder chip that transmits a specific code to start the engine. The engine control unit does not activate the fuel system or the ignition circuit if the code in the key or fob does
not match.
Law enforcement acknowledges these thefts are part of a nationwide trend, in part due to social media tutorials that show thieves how to exploit the defect, allowing them to bypass the ignition by breaking off the dash panels and simply using a USB port to start the car. Despite knowing and being made aware of the threat these vehicles pose, Kia and Hyundai have failed to provide any permanent solutions to consumers. Their conduct violates consumer protection laws and breaches the companies’ warranty obligations.
For more information about the case, contact Hellmuth & Johnson partner Anne T. Regan at (952) 460-9285.
The vehicle owners are represented by Anne T. Regan, Nathan D. Prosser and Lindsey L. Larson of Hellmuth & Johnson, Minneapolis, MN.
Source: Hellmuth & Johnson
Metro
The nomination of Hugh “Jack” Weidinger IV, dealer principal at North Bay Cadillac Co. Inc. in Great Neck, NY, for the 2023 TIME Dealer of the Year award was announced Oct. 26 by TIME.
Weidinger is one of a select group of 48 dealer nominees from across the country to be honored with the award.
The TIME Dealer of the Year award is one of the automobile industry’s most prestigious and highly coveted honors. The award recognizes the nation’s most successful auto dealers who also demonstrate a long-standing commitment to community service.
Weidinger was chosen to represent the Greater New York Automobile Dealers Association (GNYADA) in the national competition one of only 48 auto dealers nominated for the 54th annual award from more than 16,000 nationwide.
Named TIME Dealer of the Year
Long Island since 1938. “After one year at a Wall Street firm, I joined the dealership full-time in 1996 at age 24. I learned how to manage the business, collaborate with the team and saw a lot of ups and downs while managing this new venture.”
board of the Glen Cove Boys & Girls Club at Lincoln House for six years. Since 1903, this leading advocate for youth has provided essential after-school services and a safe and nurturing environment for 6- to 18-year-olds in Glen Cove, NY.
“Our dealership staff volunteers every year to create Thanksgiving baskets, prepare meals and collect food for the organization’s Thanksgiving dinner and basket giveaway, which helps families in need during the holiday,” Weidinger said.
His team is also a leading contributor to GNYADA’s annual winter coat drive to purchase new coats from Operation Warm, a national nonprofit that manufactures brand-new, high-quality coats and shoes for children in need.
“Over the 10 years our customers and staff have participated, we have heavily contributed to the 80,000 coats that have been collected and donated,” he said. “We work with five local charities and religious groups to distribute the coats we collect throughout Nassau and Suffolk counties.”
itself on being honest, respectful and attentive to the needs of everyone who comes through our dealerships and we treat everyone the way we want to be treated.”
Dealers are nominated by the executives of state and metro dealer associations around the country. A panel of faculty members from the Tauber Institute for Global Operations at the University of Michigan will select one finalist from each of the four NADA regions and one national Dealer of the Year. Three finalists will receive $5,000 for their favorite charities and the winner will receive $10,000 to give to charity, donated by Ally.
In its 12th year as exclusive sponsor, Ally also will recognize dealer nominees and their community efforts by contributing $1,000 to each nominee’s nonprofit charity of choice. Nominees will be recognized on AllyDealerHeroes.com, which highlights the philanthropic contributions and achievements of TIME Dealer of the Year nominees.
“My father and grandfather worked hard to establish our reputation in our market, and I am committed to carrying on that legacy by investing in our employees, our facilities and our communities,” Weidinger said.
A 1994 graduate of Lehigh University in Bethlehem, PA, where he earned a bachelor’s degree in finance, Weidinger received his MBA from Columbia University in New York, NY, in 2004. He also studied automotive management at the NADA Academy to prepare to oversee his family’s auto group.
“I grew up going to the Jaguar dealership with my dad since about the age of 8 and worked in parts and service during summers while in school,” he said, noting his family has been selling luxury vehicles on
In 2002, the group sold Infiniti, took on Hummer and built a new Cadillac Hummer store, and Weidinger was named dealer principal of both locations in 2008. Weidinger added Buick and GMC in 2010, and in 2017, he was appointed a Land Rover franchise.
Today, he oversees North Bay Cadillac and North Bay Buick GMC in Great Neck and Jaguar Land Rover Freeport in Freeport, NY.
“While growing up in the dealership I worked hard to earn the respect of my coworkers, some of whom are still working for us today,” he said. “As the strongest guide in my life, my father taught me the value of caring deeply for the well-being and success of our dealership employees.”
With such deep roots in the retail automotive industry on Long Island, Weidinger has served on the board of GNYADA since 2014 and is currently vice chair of the executive board.
He is equally committed to his community and has served on the
Weidinger added, “As a thirdgeneration dealer, the keys to running a successful business and continuing our family tradition have been ingrained in me. Our team prides
Weidinger was nominated for the TIME Dealer of the Year award by Mark Schienberg, president of GNYADA. Weidinger and his wife, Julia, have three children.
Source: GNYADA“As a third-generation dealer, the keys to running a successful business and continuing our family tradition have been ingrained in me. Our team prides itself on being honest, respectful and attentive to the needs of everyone who comes through our dealerships and we treat everyone the way we want to be treated.”
HUGH “JACK” WEIDINGER IV DEALER PRINCIPAL AT NORTH BAY CADILLAC CO. INC
A federal jury in Michigan found Ford Motor Co. guilty of violating a contract and misuse of trade secrets, awarding Texas-based Versata Software $104.65 million Oct. 26 after three weeks of trial testimony.
“While we respect the jury’s decision, we believe the facts and the law do not support this outcome. Ford will appeal the verdict,” spokeswoman Catherine Hargett told the Detroit Free Press on Oct. 27.
At issue is a 2004 contract between the two companies involving software Versata developed to manage how vehicle components are configured during assembly.
The jury determined Ford misused confidential information, reverse-engineered Versata’s software for its own commercial use and used it without a license. Law360 first reported the verdict.
The jury awarded $82.26 million for breach of contract and $22.39
million for misuse of trade secrets, according to the jury verdict form reviewed by the Free Press.
The verdict signals to companies that theft has consequences, said Dan Webb, attorney for Versata.
“When you have a company, like Versata, that has expended so much effort in developing intellectual property and software for a company to use, that software still belongs to, in this case, Versata. They built the software,” said Webb, who is with Winston & Strawn in Chicago. “For Ford to have stolen the software of Versata’s just so they could make a competing product and then no longer have to pay license fees to the software owner, that is a serious act of misconduct that we just can’t allow to go on.”
Ford hired Versata in the late 1990s to develop software intended to address issues that had led to costly recalls, he said.
“The companies reached a 15year contract for Ford to use the software in 2004, but Ford ended the agreement in 2014, saying it had developed its own software,” Law360 reported. “Webb said
he told the jury that Versata later discovered that Ford ‘stabbed us in the back,’ and that the software it had secretly developed incorporated Versata’s trade secrets.”
Hargett said the verdict has no impact on current products or activity at Ford.
“The software has not been used since 2014,” she told the Free Press. “This was back-end enterprise software last used nearly a decade ago to support vehicle configuration and design and material forecasting. It was never used in vehicles.”
Back-end enterprise software is software that companies use to support their business functions rather than putting them in the vehicles, Hargett explained. Examples of other “back-end enterprise software” used by companies would include Microsoft and Salesforce.
However, Webb told the Free Press what Ford is saying simply isn’t true, that the software is still in use today and that’s what inspired jurors to punish Ford with its verdict.
“The automotive software that Ford is using today to keep Ford running and configuring cars has our stolen software in it,” Webb said. “That’s why the jury awarded $100 million, to compensate us for the last 7½ years that they’ve continued to use it after they have refused to pay any more license fees.”
Ford has continued to claim it isn’t using the software, Webb said. “That was their defense and they lost the case. So they’re going to have to figure out what to do about that.”
U.S. District Judge Matthew Leitman in the Eastern District of Michigan presided over the trial.
Webb, a former U.S. Attorney for the Northern District of Illinois, was one of former Detroit Mayor Kwame Kilpatrick’s criminal defense attorneys. Webb also made international headlines after successfully prosecuting actor Jussie Smollett, known for his portrayal of Jamal Lyon on the Fox hit series “Empire,” for a hate crime hoax and lying to police in Chicago. Webb also prosecuted retired Adm. John Poindexter in the IranContra affair.
Spanesi Americas Introduces FLASH Portable Pulling Column
By Stacey Phillips Auotbody NewsBuilt to be portable, powerful and flexible, the FLASH Portable Pulling Column was introduced by Spanesi Americas for the collision repair industry. The company showcased the patent-pending product during the SEMA Show in Las Vegas, NV.
Timothy W. Morgan, COO of Spanesi Americas, Inc., said the FLASH is a vacuum-powered tower that uses the shop’s compressed air system (minimum of 102psi required) to create a vacuum seal to the flooring surface, delivering 550 pounds of pulling force using a heavyduty ratcheting system. The FLASH features an adjustable pulling height setup providing precise pulling for straight or down-pulling applications.
“This is a game-changer for collision repair facilities,” said Morgan. “Technicians no longer need to move the vehicle to a bench, frame rack or floor pot to perform light pulling duties on vehicles.”
With the FLASH, he said technicians have the flexibility to repair vehicles in tight spaces with the exact angles needed to remove vehicle damage. Using built-in rear
wheels allows the FLASH to be relocated within the repair facility so there is no need for anchoring to floor pots or moving the vehicle to a frame rack to perform a dent pull.
“With shop footprints becoming smaller, you need to maximize space,” said Morgan. “The FLASH is easy to use and works anywhere, so it is time efficient and can help shops save costs.”
Motors, Thunder Bay, ON, Canada.
Spanesi Americas also displayed its award-winning TOUCH electronic measuring system, the 106EXT structural straightening bench, the MULTIBENCH single-bay repair solution, the Q5.2 three torch MIG/ MAG welding machine, and the PULL UP! repair systems for glue-based cosmetic and structural pulling.
With a range of equipment built for collision repairers, Morgan shared that in late October, Spanesi America’s received OEM certification approval from Lucid Motors. Approved Spanesi products include the 106 and 106EXT Structural Straightening Benches and the TOUCH electronic measuring system. Each piece of equipment underwent stringent reviews for data accuracy by Lucid Motors before being approved for the program.
The company is working to ensure it is at the forefront of vehicle repairs.
industry. Founding partners include the Collision Repair Education Foundation (CREF), BASF and KTL Restorations.
“Spanesi has helped spread the word about Operative Talent and they are also donating equipment to get shops involved with supporting the raffle,” said Brandon Eckenrode, CREF’s managing director. “In addition to Operative Talent, Tim and Spanesi have been long-standing CREF supporters.”
As a sponsor, Spanesi plans to raffle a measuring system and donate the money to Operative Talent. The team also hopes to bring young people into their Chicago, IL, facility and teach them how to measure vehicles and weld.
During SEMA, Spanesi Americas raffled off four FLASH portable pulling columns. The winners were Gene Lopez, Siedner’s Collision Center, CA; Manuel Lim, Fixit Auto Body, CA; Nicole Craig, Coachworks, AZ; and Daniel Trevisanutto, Half-Way
“We understand the importance of working closely with the auto manufacturers to be able to repair a car properly,” said Morgan.
Another development is Spanesi America’s partnership with Operative Talent. Launched this year, Operative Talent was formed to engage and attract future talent to the automotive
“They need hands-on experience to determine if this is the path they want to take,” said Morgan, who started in the industry when he was 14 years old and wants to encourage young people to learn about the opportunities available in the industry. “We’re really excited about being part of this initiative.
“The industry has been given a bad rap that it’s a dirty job, but it’s not,” he said. “It can be a very fulfilling career.”
For more information, visit www. spanesi-americas.com.
Nikola Founder Trevor Milton Convicted on 3 Counts of Fraud
By Ben O’Hare InsideEVsNikola Motors founder and former CEO Trevor Milton was convicted on three of the four counts of fraud he was facing.
Milton was charged with two counts each of wire fraud and securities fraud. The 40-year-old insisted he “did nothing wrong” and was only “talking about a business plan.”
He was found guilty on both counts of wire fraud and one of securities fraud. He was acquitted on the other securities fraud charge.
Milton founded Nikola Motors in 2014 with the goal of making a hydrogen-powered Class 8 semi truck. The firm later revealed plans for a hydrogen pickup, the Badger, which would be built by General Motors.
Nikola went public in June 2020 and was valued at $34 billion at one point; Milton himself was worth $6.6 billion thanks to a 19.5% stake. Milton cashed in on the hype and sold a significant amount of his shares. He was
quick to make use of his newfound wealth, buying a 2,000-acre luxury ranch in Utah for $32.5 million.
million to resolve the dispute. Also in September 2020, sexual assault claims against Milton emerged.
Milton resigned as CEO of Nikola on Sept. 20, 2020, and left the company entirely that December.
Nikola started to clean up its image and distance itself from Milton, appointing Mark Russell as CEO. The company has made significant progress since and now does in fact have working prototype trucks.
MotorTrend Group announced Oct. 26 the next phase of its expansion strategy with a new way for viewers to enjoy highquality automotive content: free ad-supported streaming TV that will reach tens of millions of viewers and hundreds of millions of devices.
Fans will now be able to access the all-new MotorTrend FAST TV channel on Samsung TV Plus, Samsung’s free TV and video streaming platform, and Xumo.
However, it turned out Nikola was nowhere near as technologically advanced as Milton claimed. The Hindenburg report of September 2020 stated the firm did not have working prototypes and faked a video of a “functional” Nikola Tre by instead rolling a shell down a hill. Furthermore, the report alleged claims of groundbreaking battery technology were false.
Nikola responded by threatening to sue Hindenburg. The SEC got involved and the startup was eventually forced to pay $125
Milton continued to be investigated separately and was indicted on four counts of fraud in July 2021 by a federal grand jury.
This takes us to the present day, where Milton has been found guilty on three of the four aforementioned charges. U.S. Attorney Damian Williams concluded Milton lied “over and over again” and his case should serve as a warning to anyone “who plays fast and loose with the truth to get investors to part with their money.”
The disgraced former CEO now faces up to 20 years in prison.
This gives viewers more options than ever to watch MotorTrend’s massive library of automotive content in addition to MotorTrend+, the only ad-free subscription streaming service dedicated entirely to the motoring world and MotorTrend TV, already available in 73 million homes.
It was available as of Oct. 26 on Samsung TV Plus and Oct. 27 on FAST service Xumo. More FAST providers will be announced soon. Visit www.MotorTrend.com/ FASTTV for more information.
MotorTrend GroupThe average price paid for a new vehicle in the U.S. in September was down from August’s record but remains solidly above the $48,000 mark, according to new data released Oct. 12 by Kelley Blue Book, a Cox Automotive company.
The Kelley Blue Book new-vehicle average transaction price (ATP) decreased to $48,094 in September, slightly lower than the previous high of $48,240. September prices dipped 0.3% ($146) month over month from August, but were up 6.1% ($2,775) year over year from September 2021.
According to Kelley Blue Book calculations, September marks a record 16th straight month that newvehicle ATPs were higher than the average manufacturer’s suggested retail price (MSRP), also known as the sticker price.
“Interest rates and average monthly payments were up in September, which means affordability worsened,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “With prices still well above MSRP and incentives from automakers still low, sales in September continued to struggle as
consumers weighed their vehiclebuying options.”
Average Prices for Luxury Cars Decline Slightly from August
Strong luxury vehicle sales have been a primary reason for overall elevated new-vehicle prices. Luxury vehicle share remains historically high, increasing to 18% of total sales in September from 17.6% in August. The high share of luxury sales is helping to push the overall industry ATP higher.
In September, the average luxury buyer paid $65,775 for a new vehicle, down $60 from August when luxury ATPs hit a record high of $65,835. Buyers continue to pay more than MSRP for new luxury vehicles, although prices are trending closer to or below sticker prices in some luxury segments.
Mercedes-Benz and Jaguar showed the most price strength in the luxury market, transacting between 2% to 4% over sticker price last month. Luxury brands Audi, Alfa Romeo, Infiniti, Lexus, Porsche and Tesla showed the least price strength, selling 1% or more below MSRP in September.
Average Non-Luxury Car Prices See Significant Drop but Remain Above Sticker
The average price paid for a new non-luxury vehicle in September was $44,215, down $256 month over month. On average, car shoppers in the non-luxury segment paid $829 above sticker price, a slight decrease from August.
Most non-luxury brands had stable pricing or declines in September. Buick, Mazda and Dodge showed the most price strength in the non-luxury market, transacting between 2% to 4% over sticker price last month, while Ford, Honda and Toyota showed the least price strength, selling 1% or more below MSRP in September.
Electric Vehicle Prices Declined in September but Remained Up Compared to One Year Ago
The average price paid for a new EV declined in September by $1,162, or down 1.8%, compared to August, but was up by 9.7% compared to a year ago in September 2021. The average new EV price was $65,291, according to Kelley Blue Book estimates, well above the industry
average and aligning more with luxury prices versus mainstream prices.
Auto Incentives Offered by Manufacturers Remain Historically Low
Incentives decreased again in September to only 2.1% of the average transaction price, a record low. One year ago in September 2021, incentives averaged 5.2% of ATP. Full-size cars and luxury cars had the highest incentives in September at 4.4% of ATP. Meanwhile, highperformance cars, vans, EVs and luxury full-size SUVs/crossovers had the lowest incentives, all less than 1% of ATP.
Brands with higher inventory levels offered higher incentives in September. For example, the Stellantis brands generally had higher-than-average inventory in September and higher-than-average incentives. While still low from a historical perspective, Stellantis’ incentives in September averaged 4.0% of ATP, down from 4.4% in August.
Source: Kelley Blue Book
Cyberattacks Increasing in Auto Dealerships
Cybercriminals are getting craftier as auto retailers continue to fall victim to well-disguised attacks.
According to the second annual dealership cybersecurity study by CDK Global Inc., a leading automotive retail software provider, 15% of dealers have experienced a cybersecurity incident in the past year.
Of those impacted, 85% of the occurrences were due to sophisticated phishing attempts concealed as legitimate emails that resulted in data breaches, IT-related business interruptions and loss of revenue. The consistent cyberthreats have auto retailers concerned about securing their networks as they prepare for the upcoming Federal Trade Commission (FTC) Safeguards Rule implementation Dec. 9. “ Consumers are continuously shifting to a more mobile environment, requiring automotive dealerships to streamline their sales and service online. Unfortunately, it can lead to creating gaps in IT networks for securing data,” said Joe Bell, vice president and general manager of IT Solutions Product & Technology, CDK Global. “Updating a dealership’s IT infrastructure, establishing an
incident readiness plan and identifying qualified individuals to oversee the requirements are important steps for auto retailers in meeting the upcoming FTC compliance deadline.”
The amended FTC Safeguards Rule outlines compliance measures, which includes securing customer data and implementing a comprehensive information security program.
Having a solid cybersecurity plan in place is key for dealers to meet the Safeguards Rule, yet the study found only 37% of auto retailers are confident in the current protection, resulting in a 21% decrease in preparedness compared to CDK Global’s 2021 study. With the rule compliance deadline fast approaching, dealerships are getting serious about their cybersecurity measures. The CDK Global State of Cybersecurity in the Dealership report found nearly 60% of dealers plan to prioritize upgraded investments in IT infrastructure, including:
Anti-virus and malware protection increased by 31% compared to 2021, followed by establishing secure networks with consistent updates and patching.Dealers plan to update cybersecurity measures to combat top
cyberthreats, such as email phishing, ransomware, lack of employee awareness, theft of business data, PC virus or malware and stolen or weak passwords. Additional action plans include securing endpoint devices, investing in cybersecurity insurance and continued staff training.
Dealerships are preparing for the influx of possible attacks to their infrastructure, including hiring cybersecurity experts both in-house and externally and educating staff on detecting potential cyber threats.
“With the recent surge of ransomware attacks around the world and the advancement of security protocols we have made, cybersecurity remains a huge priority,” said Preston Petersen, general manager and partner at Team Automotive Group in Baton Rouge, LA. “The risk to businesses and our industry is at an all-time high, and we take that risk very seriously.”
Ensuring that dealers will be FTC compliant by Dec. 9 remains uncertain, as many auto retailers are finding the Safeguards Rule to be difficult to understand or complete. CDK’s State of Cybersecurity report found only
35% of dealers fully comprehend the new ruling and less than half are wellprepared.
While 71% were familiar with protection mandates including multifactor authentication, data encryption and data and systems inventory, several requirements remain cloudy, including compliance on mitigation, threat detection and response.
“Partnering with a managed service provider can assist dealerships in eliminating the guesswork for FTC compliance, ensuring a safer, more secure and up-to-date IT infrastructure,” said Bell.
Andrew McClure, director of IT Operations of The Patrick Dealer Group locations in Illinois, echoed Bell’s recommendation on dealer cybersecurity safeguarding.
“Engage with a chief information security officer who aligns with (analytic models) FAIR/NIST/CISA standards, research best practices and follow directions on structuring a layered cybersecurity program for your business,” McClure suggested. “Cybersecurity investments will pay dividends in threat/risk reductions.”
Source: CDK Global Inc.
Recognized For
A panel of international media judges awarded I-CAR a prestigious SEMA Global Media Award in recognition of its new Electric Vehicle (EV) Hands-On Skills Development course.
The five-day EV Hands-On Skills Development course serves as the capstone to eight prerequisite EV courses for collision repair professionals, and is taught by I-CAR’s growing bench of EV experts at I-CAR’s new Chicago Technical Center (CTC) in Vernon Hills, IL.
The SEMA Global Media Awards (GMA) Program recognizes those companies that manufacture specialty equipment products and accessories that would have mass appeal to consumers in countries outside the U.S.
I-CAR was also recognized as a runner-up in the SEMA Best New Products Advanced Driver Assistance System (ADAS) product category for its recently launched Hands-On ADAS Calibration courses.
Source: I-CAR
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While inflation, supply chain issues and labor shortages have many on edge about the U.S. economy, Christopher Thornberg offered a fairly positive message to collision repairers at the MSO Symposium in Las Vegas on Oct. 31.
pandemic, but even back in 2019.
“Look, take a step back and recognize that these stories you are seeing year after year are a hell of a lot scarier than the world around us,” Thornberg said. “So beware the narrative. We live in odd times, but it’s not a recession, and indeed I don’t expect any kind of recession in the near term. There is so much pent-up consumer demand in our economy right now.”
He acknowledged higher interest rates are cooling off home prices, but “the fundamentals of real estate are actually still very good right now.” Inflation will burn out on its own, he said. While an inflationary economy is brittle—“If a real shock does pop up, it could cause real problems”— “the scariest thing to me is still the narrative,” he said.
driving. The federal funds rate does not keep people from getting on the road.”
No Quick Drop in Shops’ Backlog Forecast
Also offering mostly good news for body shops moving into 2023 was Bart Mazurek, vice president of consulting services for CCC Intelligent Solutions’ automotive services group. He told MSO Symposium attendees he doesn’t expect the record-high
mid-next year will start to come back down. But I don’t anticipate them going much below four weeks.”
He said claims counts this year are running ahead of 2021 but still aren’t what they were in 2019, in part because downtown traffic and morning commute congestion in major urban markets is still down compared to 2019.
“I don’t anticipate repair volume to come back to pre-pandemic levels maybe ever,” Mazurek said. “A lot of that has to do with vehicles getting smarter, and with ADAS being standard on every new vehicle. Especially in terms of front-end collisions, they’re going to become less frequent and more costly.”
Thornberg, who holds a doctorate in business economics from UCLA and is founder of Beacon Economics in California, said those worried about the current gloom-and-doom headlines about the economy should go back and look at similarly worried predictions not only at the start of the
For collision repairers, a slowdown in the construction industry will free up shipping container capacity for other goods, likely easing supply chain issues, Thornberg said. And someone who finds themselves priced out of the housing market may decide to buy a new car instead.
“If you’re just looking at people buying and driving cars, I don’t expect that to slow down at all,” Thornberg said. “Look at the roads. Everyone is
average backlog of work at body shops across the country to decline much before mid-2023 at the earliest. The labor shortage is a key cause, he said, and there’s actually been some decline in enrollment and graduate counts in collision training programs.
“While supply chain issues will alleviate [next year], that’s not going to cut these backlogs in half,” Mazurek said. “Realistically, they will probably get worse in the interim, and then
That said, strong used vehicle values have kept the percentage of those claims resulting in a total loss vehicle declining the past two years. In the fourth quarter of 2020, total losses accounted for 21.7% of the total claims count, according to CCC data; by the third quarter of this year, that was down to 17%.
Across the U.S., vehicle theft totals are approaching near record highs and new analysis by the National Insurance Crime Bureau (NICB) indicates these trends show no signs of slowing down.
Vehicle theft data, provided by the National Crime Information Center (NCIC) and analyzed by NICB, indicates more than 745,000 vehicles have been stolen in the first three quarters of 2022, with more than 250,000 having been reported to law enforcement since the end of June. This is a 24% increase compared to this same time period in 2019. If this trend continues, totals could exceed 1 million stolen vehicles nationally by the end of the year and surpass pre-pandemic highs by more than 100,000 stolen vehicles.
“The year may be coming to an end, but criminals are not going on winter break,” said David Glawe, president and CEO of the NICB. “Even as temperatures drop, vehicle owners everywhere need to know that the criminals are still on the hunt.”
Vehicle thefts in the U.S. are
the highest they have been since 2008. According to previous analysis by the NICB, vehicle thefts tend to increase in the last three months of the year during the holiday season. If history repeats itself once again, the U.S. will see thefts trending around yearly highs through the end of the year.
“Remember, practicing good security hygiene is an easy and effective first step all of us can take to protect ourselves and our vehicles,” said Glawe. “Don’t leave your car running and unattended. Always take your keys with you and most importantly, make sure your auto policy is up to date. It is that simple.”
Should your vehicle be stolen, call law enforcement and your insurer immediately. Reporting a vehicle as soon as possible after it is stolen increases the chance of recovery.
If you believe you have been a victim of fraud, call the NICB at 1-800-TEL-NICB. For additional information, visit NICB’s website, WWW.NICB.org.
Source: NICB
“We live in odd times, but it’s not a recession, and indeed I don’t expect any kind of recession in the near-term.”
CHRISTOPHER THORNBERG FOUNDER OF BEACON ECONOMICS
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Collision Repairers Can Help Consumers Understand Differences Among Insurers
Collision repairers are well aware there are differences among the auto insurers selling policies in their state. The annual Insurer Report Card, now launched, is the industry’s way to communicate those differences to consumers.
“Shops see on a daily basis which insurers really stand behind their promise to deliver top-quality repairs and customer service after an accident,” said John Yoswick, the editor of CRASH Network, which conducts the Insurer Report Card. “The Insurer Report Card helps amplify the voice of the collision repair industry to get their unique perspective out to vehicle owners. It also gives the highestgraded insurance companies another way to communicate what sets them apart from the companies that receive lower grades from shops.”
More than 1,000 collision repair professionals each year grade the performance of the auto insurers in their state through CRASH Network’s Insurer Report Card— and the insurance companies and consumers are paying attention.
Insurers like Chubb and Acuity that have consistently received top grades tout that in their marketing and social media. Yoswick said other organizations, like Forbes Advisor and CNET, that also offer independent information to consumers about financial decisions, now incorporate the Insurer Report Card grades into their auto insurance rankings.
The latest Insurer Report Card is now open to shops at http://www. CrashNetwork.com/gradebook.
It asks collision repairers to grade each company—from “A+” to an “F”—based on how well the insurers’ claims practices help ensure quality repairs and customer service.
“Because each state has a different mix of insurers, the Insurer Report Card allows repairers to grade insurers specific to their state,” Yoswick said. “That makes it far more extensive than similar surveys, which generally focus on only the 10 largest national insurers. The results of the Insurer Report Card can help consumers know, for example, if
some smaller or regional insurers they may not be as familiar with are really great at taking care of customers.”
The Insurer Report Card can be completed in less than three minutes—though shops are encouraged to spend time to explain why they gave each insurer the grade they did—and all individual shop grades and identification information will remain confidential.
Shops that complete the Insurer Report Card and provide an email address will be sent the results to share with their customers, at no charge, once they are compiled.
Shops can click here (http:// www.CrashNetwork.com/ gradebook) to grade the insurers.
For more information about the weekly CRASH Network newsletter, visit www. CrashNetwork.com.
Source: CRASH Network
CCC Intelligent Solutions Inc. strengthened its executive team with the appointment of Michael Silva as chief commercial and customer success officer.
Silva will have overall responsibility to deliver innovative outcomes for CCC’s customers across the P&C insurance economy. Silva joins CCC from Salesforce, where he was responsible for global and enterprise customers in the financial services segment.
Silva joins CCC following successful tenures at several leading technology companies. He most recently served as SVP of financial services at Salesforce. Prior to Salesforce, Silva held SVP and general manager roles at IBM, Microsoft and United Health. He has successfully led teams and executed growth strategies delivering several billion dollars of annual revenue. Silva also has P&C insurance operating experience, leading a claims department at Chubb Insurance early in his career.
www.autobodynews.com
Source: CCC Intelligent Solutions Inc.
Enlyte’s
From inflation and regulatory issues to claims automation and the evolving workforce, experts weigh in with unique insight across the P&C landscape
As the nation faces uncertainties related to inflation, adversarial midterm elections, workforce evolution and prescription drug costs, leaders in the property and casualty (P&C) and collision repair markets are seeking applicable information and new solutions to meet the challenges.
To help insurance and automotive executives prepare for the coming year, Enlyte on Nov. 14 issued its 2022 Enlytened Trends Report. The annual publication delivers valuable insights from renowned subject matter experts at Enlyte, the parent company of Mitchell, Genex and Coventry.
In an extensive report covering a wide array of today’s most pressing issues, industry leaders present intelligence and predictions based on data-driven trends in collision and casualty markets.
“Whether it’s workforce changes, inflation, supply chains or politics,
each new challenge to our industry comes with an opportunity for growth and improvement for the people we serve,” said Alex Sun, CEO of Enlyte. “Be it impacts of automation or electrification, social inflation or social determinants of health, election results or drug price transparency, our subject matter experts are taking a closer look at the trends that shape our industry’s decision-making today, offering strategies to help them navigate whatever comes next.”
Using a future-focused approach, Enlytened ’22 authors deliver a thorough assessment of problems the industry has faced in the past few years such as supply chain issues and provider shortages and presents strategies industry leaders can use when tackling difficult issues and meeting future goals.
Enlytened’s nine chapters tackle the issues P&C and collision repair leaders care about most. Among these are:
Managing social inflation in a talent crisis: There’s another type of inflation converging with workforce challenges—a trend in rising claims
costs due to increased litigation settlements, larger jury awards, growing anti-corporate bias and aggressive tactics used by plaintiff attorneys.
Separating fact from fiction in claims automation: The industry is just beginning to reconcile initial expectations with the current state of touchless claims. Subject matter experts explain where we are today and what’s next for estimate automation.
Increasing drug price transparency: Current and future legislative and regulatory activity could impact how pharmacy benefit managers practice, directly impacting workers’ comp. Here’s what to look for.
Addressing the impact of workplace violence: Incidents of violence continue to be top of mind for employers and remain one of the leading causes of occupational injuries. Enlyte subject matter experts offer approaches to managing traumatic stress within the organization.
Growing adoption of EVs and impact on collision claims: With EV
adoption at a tipping point, Enlyte authors reveal what insurers and collision repairers should know about EVs and the impact on claims and repair processes and costs.
Changing face of politics: The mid-term election didn’t produce a “red wave” as many pundits predicted. However, it has yielded a new crop of legislators to state capitals across the U.S. Enlyte regulatory experts offer insight on how these newbies could affect future comp and auto physical damage legislation.
Solving the mystery of returnto-work delays: When a workplace injury occurs, much focus is placed on healing the affected body part, but return-to-work specialists say those who follow this antiquated approach are missing a key component to quick recovery.
Source: EnlyteMARYLAND
Porsche
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NEW JERSEY
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GM Secures All Energy Needed To Achieve Renewable Energy Goal 25 Years Ahead of Target
General Motors announced the finalization of energy sourcing agreements required to secure 100% of the energy needed to power all its U.S. facilities by 2025.
This is in line with the accelerated target announced in September 2021, which is five years ahead of the 2030 target announced in early 2021 and 25 years ahead of the initial target of 2050, set in 2016.
By achieving this accelerated goal, GM expects to avoid the production of an estimated 1 million metric tons of carbon emissions that would have been produced between 2025 and 2030, equal to the emissions produced by burning 1 billion pounds of coal.
“We believe it is critical---to ourselves, to our customers and to the future of the planet---to step up our efforts and reach ambitious targets that move us closer to a more sustainable world,” says Kristen Siemen, GM chief sustainability officer. “Securing the renewable energy we need to achieve our goal demonstrates tangible progress in reducing our emissions in all aspects of our business, ultimately moving us closer to our vision of a
Equalizer® Gives Back This Holiday Season
Equalizer® is opening up its Tools for Techs program once again this holiday season to go along with its donation to Toys for Tots, to gift a tech with some extra Christmas cheer.
From now until Dec. 14, Equalizer will donate a portion of proceeds from the products included in its Glass Removal Kit (GRK551) to the Toys for Tots Austin, TX, organization.
In addition to Toys for Tots, Equalizer® is asking for nominations for a deserving auto glass installer in its Tools for Techs program. The winning nomination(s) will receive a Glass Removal Kit with their choice of removal tool, such as an Equalizer Ambush™, BlackHawk™, Viper™, Raptor™ or Transformer worth up to $2,359 in value.
Submit your nomination for an honorable tech who is deserving of a special start to the new year at equalizer.com/tools-fortechs-2
Source: Equalizer
future with zero emissions.”
Sourcing renewable energy is a critical component of GM’s plans to decarbonize. The company’s renewable energy strategy is rooted in four pillars:
1. Increasing Energy Efficiency: GM’s energy goals begin with reducing energy consumption by improving energy efficiency. For 11 years, GM has been awarded the EPA Energy Star Sustained Excellence Award for its energy efficiency efforts.
2. Sourcing Renewables: While it works to minimize the amount of energy required to run its facilities, GM also sources renewable energy through direct investment, on-site generation, green tariffs and power purchase agreements. This is the main way through which GM is achieving its renewable energy goal.
3. Addressing Intermittency: GM is creating technology to store renewable energy over the medium and long term, so its power consumption is not disrupted by external fluctuations.
4. Policy Advocacy: Policy efforts are essential to expand transmission, create microgrids that help deploy renewable energy and enable markets to price these solutions to enable a carbonfree resilient power system. GM supports policies that enable a carbon-free, resilient power system.
GM’s renewable energy portfolio now includes sourcing agreements from 16 renewable energy plants across 10 states, continuing to lead all automotive OEMs as the largest offtaker of renewable power in the industry. Since 2017, the portfolio has also produced over $75 million of positive cash flows.
In 2019, GM became a founding member of what is now known as the Clean Energy Buyers Association—the largest group of corporate renewable energy buyers in the U.S. CEBA brings companies together to unlock market access, helping organizations of all sizes find cost-effective pathways to buying renewable energy.
“General Motors has been a trailblazer in corporate clean energy procurement for
manufacturing facilities for over a decade,” said Miranda Ballentine , CEO of the Clean Energy Buyers Association. “Today’s announcement of securing the energy needed to achieve their 2025 goal is another example of their leadership. But even more impressive has been GM’s commitment to sharing their learnings and guiding other corporations who want to follow their lead. In a world of high competition, this communityorientation is truly wonderful.”
In 2021, GM announced its Science Based Targets for emissions reduction, as well as plans to become carbon neutral in its global products and operations by 2040. In addition, the company plans to eliminate tailpipe emissions from new U.S. light-duty vehicles by 2035. GM has committed to invest $35 billion in electric and autonomous vehicles through 2025, with plans to reach more than 1 million units of annual EV capacity in each of North America and China by the end of 2025.
Source: GMNegotiating with insurers is just part of the repair process and nothing to dread, according to Mike Anderson of Collision Advice.
Anderson and Danny Gredinberg, of the Database Enhancement Gateway (DEG), presented “BulletProof Negotiation Tactics” Nov. 2 at the 2022 SEMA Show, part of the Society of Collision Repair Specialists’ (SCRS) Repairer Driven Education series.
“I’m seeing more and more friction between shops and insurers,” Anderson said. “The goal is to give you negotiation strategies to reduce that friction and get paid more.”
Anderson and Gredinberg gave tips on how to approach negotiations from a fact-based standpoint—with documentation, and where to find it—and finally discussed a collision repairer’s options when an insurer still won’t pay for work.
Anderson said anyone can get a copy of the full presentation by emailing his assistant, Tiffany Driggers, at tiffany@collisionadvice. com.
“This presentation is in no way anti-
insurance,” Anderson said.
Many people make the mistake of thinking of negotiations as a negative thing, like a fight or an argument, he said, but they’re a discussion aimed at reaching an agreement.
Repairers must negotiate on things like labor times, not-included labor operations, labor rates, alternative parts usage and more, Anderson said.
The negotiation begins the moment you interact with the customer, he said. “The customer is really the boss. Get the customer believing in you before you enter into conversation with the payer.”
Anderson suggested reviewing the vehicle’s owner’s manual with the owner, to show the owner exactly what the automaker says must be done to properly complete the repair.
If your shop is not in a DRP and the insurance company is causing a delay, call the customer every day, Gredinberg said.
“Tell the customer their car is on hold after disassembling, and they may want to call to expedite the claim,” Anderson said. “After you’ve called them two or three days, the customer will call and either get their insurance to pay, or they’ll pay
it themselves. Either way, you get the car out.”
When writing an estimate, it needs to tell a story, with good line notes and quality photos. Attach OEM repair procedures to the estimate, as they can change frequently.
Anderson then went over his “Rules of Negotiation.”
Your Opinion Don’t Mean Jack “It only matters what you can prove, substantiate or justify,” he said.
Don’t Take the Bait
“When insurers say, ‘No one else charges for that, you’re the only one,’ they’re baiting you,” he said. “Say, ‘I don’t care what anyone else charges for, I want to stick to the facts.’”
Present the Facts
Is it required to restore the car to preaccident condition? Is it included in any other labor operation? Is there a pre-determined time in the database? If not, what is it worth?
“These are questions based on fact, not emotions,” Anderson said.
Prove It
Use OEM repair procedures; estimating systems; credible internet
sources like SCRS, I-CAR, ASE and OEM websites; manufacturer bulletins; scan tools; the vehicle manual; DEGweb.org; and Collision Advice’s “Who Pays for What” surveys to find documentation supporting your position.
If the insurer still is not convinced, the options for the repairer are to perform the operation for free, charge the customer, refuse the job, ask for a hold harmless agreement, right to appraisal, involve the agent or have the customer come on-site and meet with the insurer, but prep the customer first.
“At the end of the day, remember: do you want easy, or do you want worth it?” Anderson said. “This is not a magic bullet, but it’ll increase your chances of reimbursement.”
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Napoli Indoor Kia Milford 203-876-3331 (203) 876-3325 Fax 8am-6pm Mon-Fri paulc@napolimotors.com
Gary Rome Kia Enfield 860-253-5095 (860) 265-2674 Fax 8am-7pm Mon-Thu 8am-5pm Fri; 8am-4pm Sat parts@garyromekia.com
MASSACHUSETTS
Kia of Attleboro
South Attleboro 508-761-9300 (508) 761-0768 Fax 8am-8pm Mon, Wed; 8am-5pm Tue, Thu, Fri 8am-4pm Sat frank@courtesyma.com www.courtesyma.com
Lev Kia of Framingham
Framingham 800-462-1014 (508) 626-1585 Fax 7:30am-6pm Mon-Fri parts@levkia.com
MARYLAND
Bob Bell Kia Baltimore 800-638-4967 (410) 285-1376 Fax 7am-7pm Mon-Fri 7am-5pm Sat smelson@bobbell.com
NEW JERSEY
Liberty Kia Ramsey 201-818-8995 (201) 783-8848 Fax 8am-5pm Mon-Sat joel@libertykiaofnj.com www.libertykiaofnj.com
NEW YORK
Kia of Middletown
New Hampton 845-374-6575 (845) 374-4718 Fax 8am-5pm Mon-Fri 8am-3pm Sat nissankiaofmiddletownparts@yahoo.com www.kiaofmiddletown.com
Find your local Kia dealership today at www.kia.com
Northstar Kia
Long Island City (718) 683-5300 (718) 489-9889 Fax M-F 7:30am-5pm; Sat 8am-2pm www.northstarkiany.com
Yonkers Kia
Yonkers 914-268-0279 (914) 652-7665 Fax 7:30am-8pm Mon-Thu 7:30am-7pm Fri; 8am-5pm Sat
PENNSYLVANIA
Brown Daub Kia Easton 610-829-3020 (484) 546-0292 Fax 7am-5pm Mon-Fri 7am-3pm Sat parts@browndaubkia.com www.browndaubkia.com
Kia of Coatesville
Coatesville 610-384-7700 (610) 384-2171 Fax 7:30am-5pm Mon-Fri 7:30am-4pm Sat jkiernan@jimsipalakia.com www.kiaofcoatesville.com
Kia of West Chester
West Chester 610-429-3500 (610) 429-0164 Fax 7:30am-5pm Mon-Fri 7:30am-4pm Sat jkiernan@jimsipalakia.com www.kiaofwestchester.com
Outten Kia Hamburg 610-562-4166 (610) 562-9436 Fax 7:30am-5pm Mon-Fri 8am-12pm Sat jhenne@outtencars.com www.outtenkia.com
VERMONT
Berlin City Kia Williston 800-684-5779 (303) 928-6905 Fax 6am-6pm Mon, Wed, Fri 6am-7pm Tue, Thu 7am-3pm Sat ableau@berlincity.com
*Kia Genuine replacement parts sold but not installed by an Authorized Kia Dealer are covered for 12 months from purchase date, regardless of mileage, for the part only, and any labor charge is the consumer’s responsibility.
The National Auto Body Council® made a big splash raindrops and high winds included during its 2022 NABC SEMA Celebration at this year’s SEMA Show on the SEMA Reveal main stage outside the Las Vegas Convention Center.
of the industry leaders who comprise the Hall of Eagles, the collision industry’s Hall of Fame, which honors exceptional individuals whose longterm efforts have reached beyond their jobs and self-interest to make significant contributions towards the betterment of the industry.
The 2021 and 2022 Hall of Eagles inductees are Dan Risley, Petra Schroeder, Doug Webb, Tim Adelmann and Frank Terlep
NABC® Awards Announced NABC® then presented its annual awards the NABC Changing and
The recipients included:
Alex Ramirez, U.S. Navy veteran, nominated by Forgotten Not Gone, received a 2017 Nissan Sentra donated by GEICO and repaired by Caliber Collision.
John Bush, U.S. Army veteran, selected by U.S. Vets, received a 2018 Kia Optima donated by GEICO and repaired by Service King/Crash Champions.
Rosemary Smith, U.S. Army veteran, nominated by Welcome Home Troops, received a 2019 Honda HR-V also donated by GEICO and repaired by Service King/Crash Champions.
presentation by Chapman Collision.
Ofelia Valencia Chavez, U.S. Army National Guard active duty, selected by Las Vegas Vet Center, received a 2016 Jeep Renegade donated by Farmers and repaired by Classic Collision.
Angelique Corrente, minister and caregiver for her nephew, nominated by Lake Mead Christian Ministries, received a 2015 Hyundai Tucson donated by Nationwide and repaired by Faulkner Collision.
The celebration showcased NABC annual awards, the Hall of Eagles recipients and the NABC Recycled Rides presentation to nine deserving Las Vegas families. The 2022 NABC SEMA Celebration was held Nov. 2 right in front of the world’s largest automotive aftermarket event. More than 300 NABC members, guests and colleagues joined in the celebration. Alan Taylor of “The Drive” radio network was the emcee for the event.
Saving Lives award and the NABC President’s Award.
The NABC Changing and Saving Lives Award recognizes the individual in the collision repair industry who has delivered exemplary service in the NABC mission of Changing and Saving Lives Every Day, far beyond their role in the industry.
Michael Quinn was selected as the recipient, and his daughter Emily accepted on his behalf.
Porsche Harris, single mother with three children, selected by Family Promise of Las Vegas, received a 2017 Kia Sedona donated by Travelers and repaired by Fix Auto USA.
Victoria Earwin, single mother with two children, selected by Family Promise of Las Vegas, received a 2020 Jeep Cherokee donated
Tony Carriedo, single father of one, nominated by Family Promise of Las Vegas, received a 2020 Nissan Altima donated by Hertz and repaired by Chapman Collision.
Katherine Hall, single mother of two, selected by Family Promise of Las Vegas, received a 2019 Nissan Sentra donated by Allstate and repaired by Gerber Collision and Glass.
When each recipient opened their trunk they found a car care kit donated by Meguiar’s, and those with young children received car seats donated by Enterprise partner Longhouse Solutions.
Source: NABC
Recognition
of NABC F.R.E.E.
5,000th First Responder
The event kicked off with the recognition of a special milestone in the NABC First Responder Emergency Extrication™ program, which recently saw it’s 5,000th first responder participate in an education event.
Kyle Medeiros, chair of the NABC F.R.E.E. committee, and George Avery, NABC F.R.E.E. program manager, joined Faulkner Collision and collision center manager April Lausch, and Nationwide Insurance associate vice presidents Scott Dunfee and Scott Sherry, who donated 10 vehicles, to recognize Jamie Keenhold, an EMT and first responder with the Bath, PA, Firefighters and Ambulance Corp.
Hall of Eagles for 2021 and 2022
Inducted
The next milestone was the recognition
The NABC President’s Award, which formally recognizes companies for their leadership of and commitment to improving the collision repair industry, is designed to honor the NABC member company that supports the vision of the NABC through donation of their time and resources. Enterprise Rent-a-Car was voted as the recipient, and Scott Sampley, vice president of replacement and leisure division for Enterprise, accepted on behalf of the organization.
NABC Recycled Rides Presented to Nine Recipients
Then, attention turned to the NABC Recycled Rides presentation, featuring vehicle donors GEICO, Farmers Insurance®, Travelers, Allstate, Enterprise, Nationwide and Hertz, and collision repair partners Caliber Collision, Fix Auto USA, Crash Champions/Service King, Chapman Collision, Classic Collision, Faulkner Collision and Gerber Collision.
Boyd Group Services Inc. Reports 3Q Financial Results
Boyd Group Services Inc. on Nov. 9 announced the results for the three- and nine-month periods ended Sept. 30.
The Boyd Group’s third quarter 2022 financial statements and MD&A have been filed on SEDAR (www.sedar.com). This news release is not in any way a substitute for reading Boyd’s financial statements, including notes to the financial statements, and Boyd’s Management’s Discussion & Analysis.
Results and Highlights for the Third Quarter:
Sales increased by 27.6% to $625.7 million from $490.2 million in the same period of 2021, including same-store sales increases of 21.9%. The third quarter of 2022 recognized the same number of selling and production days when compared to the same period of 2021. Sales were modestly impacted by Hurricane Ian, with an estimated negative impact of $2.1 million during the third quarter.
sales in the same period in 2021.
Adjusted EBITDA increased 41.8% to $73.0 million, or 11.7% of sales, compared with Adjusted EBITDA of $51.5 million, or 10.5% of sales in the same period of 2021, which included $0.5 million of the Canada Emergency Wage Subsidy.
Adjusted net earnings increased to $12.1 million, compared with $2.4 million in the same period of 2021 and adjusted net earnings per share increased to $0.56, compared with $0.11 in the same period of 2021.
Net earnings increased to $11.9 million, compared with $0.4 million in the same period of 2021 and net earnings per share increased to $0.55, compared with $0.02 in the same period of 2021.
Debt, net of cash before lease liabilities decreased from $414.4 million at Dec. 31, 2021, to $314.6 million at Sept. 30, 2022.
Declared third quarter dividend in the amount of C$0.144 per share.
Added eight locations, including six through acquisition, one startup location and one intake center.
Subsequent to Quarter End
Added five locations. All Gerber Collision & Glass locations temporarily closed due to Hurricane Ian, in Florida and South Carolina, have re-opened. The impact of these closures on the fourth quarter results and the ability to recover some of the costs through insurance is being assessed; however, the impact on fourth quarter sales has been lower than that recorded in the third quarter results.
Announced a new executive vice president and COO for the collision business.
Announced a dividend increase of 2.1% to $0.588 per share annualized from $0.576 per share annualized.
Achieved growth in the Technician Development Program, from approximately 200 apprentices at the beginning of 2022 to 400 apprentices.
Source: Boyd Group Services, Inc.
CCC Introduces Diagnostics Enhancements
CCC Intelligent Solutions on Oct. 25 announced the introduction of enhancements to CCC® Diagnostics, a transformative product that meets the evolving needs of an increasingly complex collision repair industry.
The new functionality will simplify the diagnostics process for repairers and drive consistency in the administration of diagnostics billing, including customizable diagnostic profiles and a dashboard to drive diagnostics workflow. These features are further enhanced through CCC Diagnostic’s existing integrations with leading diagnostic service providers.
Through use of the CCC Diagnostics optional enhancements, repairers will be able to configure notifications to their staff to help inform them when deciding which vehicles need a pre- or post-repair scan, as well as which repairs have had a diagnostic operation completed, but not billed. Visit www.cccis.com/ diagnostics.
Source: CCC Intelligent Solutions
Cityside Subaru Belmont
(617) 826-5013 (617) 489-0733 Fax Mon.-Fri. 7:30-5:30 parts@citysidesubaru.com
Long Automotive Group
Framingham (800) 982-2298 (508) 879-1212 Fax Mon.-Fri. 7:30-5 tschube@longauto.com
Metrowest Subaru LLC
Natick
(888) 456-2200 (508) 745-2004 (508) 647-1539 Fax Mon.-Sat. 7-9 parts@metrowestsubaru.com
MASSACHUSETTS NEW JERSEY NEW HAMPSHIRE
Belknap Subaru
Tilton
(800) 358-4029 (603) 729-1300 (603) 729-1301 Fax Mon., Wed., Fri. 7:30-5 Tue., Thu. 7:30-7; Sat. 9-3 awright@belknapsubaru.com
Liberty Subaru Emerson
(888) 782-9493 (201) 261-3261 Fax Mon.-Fri. 7:30-6 parts@libertysubaru.com www.libertysubaru.com
Insurify released its 2022 Auto Insurance Trends Report: Who’s Paying More for Coverage, the first part of a two-part report that comprehensively covers 2022’s unique car insurance landscape.
Insurify’s report leverages more than 40 million car insurance rates from proprietary car insurance applications across the U.S. It details who is paying more for car insurance in 2022, surveys drivers on how they’re managing rising vehicle costs and provides drivers with expert advice on how they can save.
The report showed the average American is spending $1,705 per year on auto insurance in 2022, up 4% from 2021 and a whopping 17% from 2020.
Michigan drivers pay the most for car insurance, spending $2,510 per year on average $805 more than the national average and $1,748 more than the yearly average of $762 in Hawaii, the cheapest state for auto insurance. Across the country, drivers pay 5% less for coverage just for being married, and up to 17% less if they own their home.
“Since 2016, Insurify has provided Americans with the most
comprehensive and accurate selection of auto insurance quotes,” said Snejina Zacharia, Insurify’s CEO and founder. “Our annual data reflects the state of the nation’s economy through an insurance lens, and our 2022 report illustrates how rising inflation and recent interest rate hikes are affecting the American public and how they are responding.”
Key findings from the report include:
• Luxury, Electric Cars Priciest to Insure
• Tesla Model 3 owners have the second-most expensive car insurance premiums of any vehicle model in 2022, according to Insurify data. Model 3 drivers are spending $3,040 per year for auto insurance $1,335 more than the national average. The Infiniti Q5 is the most expensive vehicle to insure in 2022 with an average premium of $3,149 per year.
• Northeast Drivers Pay Up for Coverage
Northeast drivers are also paying more for car insurance in 2022.
Five Northeast states New York, Maryland, Delaware, Connecticut
and New Jersey rank among the 10 most expensive states for auto insurance. The average driver in one of these states is paying $2,220 per year for coverage, $515 more than the national average.
Ways Americans are Considering Cutting Insurance Costs
In the face of rising vehicle ownership costs, the report also found 65% of Americans are considering driving less and 10% are thinking about dropping their car insurance coverage altogether, despite the serious legal and financial risks of driving without insurance.
Americans are additionally considering the following actions to save on vehicle insurance, fuel and maintenance expenses in 2022:
• 30% of drivers are thinking about purchasing a hybrid or electric vehicle
• 30% of drivers are considering switching to a different insurance provider
• 16% of drivers are thinking about moving to a different location with
better public transportation and walkability
For Americans, the insurance market’s current volatility likely won’t stabilize until at least mid-2023, according to Betsy Stella, Insurify’s vice president of insurance partnerships.
“Based on our comprehensive research and feedback from over 100 carriers, the general consensus is that it will be eight to 12 months [from fall 2022] before the market stabilizes,” Stella said. “Some think it could be several years before a soft market returns.” With prices potentially on the rise for the foreseeable future, Insurify’s experts recommend comparing quotes from at least four to five insurance companies every six months or so to find the best policy for their needs.
Drivers should also explore any discounts for which they might qualify, including bundling home and auto insurance and taking a senior driving training course. According to Insurify data, a single discount can lower car insurance premiums by up to 15%, amounting to yearly savings of $258 for the average driver
Source: InsurifyMARYLAND
Audi Silver Spring Silver Spring 301.890.3015 800.288.6982 301.890.3748 Fax M-F 7:30am-5pm wholesaless@mileone.com www.audisilverspring.com
MASSACHUSETTS
Audi Shrewsbury Shrewsbury 888.751.7214 508.581.5880 508.845.1642 Fax M-F 7:30am-5pm audiwholesaleparts@mcgovernauto.com
NEW JERSEY
Audi Meadowlands North Bergen 201.408.2085 201.223.7842 Fax M-F 7am-6pm Sat 8am-2pm jpooler@bbmcc.com
Bell Audi Edison 732.396.9630 732.396.9090 Fax M-F 8am-5pm Sat 8am-4pm dmcsorley@bellaudi.com
DCH Millburn Audi Maplewood 800.553.9250 973.762.2381 Fax M-F 7:30am-6pm Sat 7:30am-4pm ddipalma@dchusa.com www.dchmillburnaudi.com
Ciocca Parts Warehouse
Audi Flemington 800.221.1256 908.782.1795 Fax M-F 7:30am-5pm Sat 8am-12pm www.njparts.com
Paul Miller Audi Parsippany 862.277.0009 973.575.5911 Fax M-F 8am-6pm Sat 8am-5pm www.paulmilleraudi.com Audiparts@paulmiller.com
Audi
NEW YORK
Audi Southampton Southampton 631.204.2565 Tue-Sat 8am-5pm parts@audisouthampton.com www.audisouthampton.com
Biener Audi Great Neck 516.487.0127 516.829.4821 Fax M-F 8am-4:30pm Sat 8am-4pm www.bieneraudi.com alutchman@biener.com rfeyjoo@biener.com parts@biener.com
PENNSYLVANIA
Audi Devon Devon 610.263.7026 610.263.7027 610.688.1742 Fax M-F 7:30am-6pm Sat 9am-4pm www.audidevon.com bnawn@audidevon.com wmohler@audidevon.com
Federal, state and local law enforcement partners from across the U.S. executed a nationwide, coordinated takedown Nov. 2 of leaders and associates of a national network of thieves, dealers and processors for their roles in conspiracies involving stolen catalytic converters sold to a metal refinery for tens of millions of dollars.
Arrests, searches and seizures took place in California, Oklahoma, Wyoming, Minnesota, New Jersey, New York, Nevada, North Carolina and Virginia. In total, 21 individuals in five states have been arrested and/or charged for their roles in the conspiracy.
The 21 defendants are charged in two separate indictments unsealed Nov. 2 in the Eastern District of California and the Northern District of Oklahoma following extensive law enforcement arrest and search operations.
In addition to the indictments, more than 32 search warrants were executed, and law enforcement seized millions of dollars in assets, including homes, bank accounts, cash and luxury vehicles.
“Amidst a rise in catalytic converter thefts across the country, the Justice Department has today carried out an operation arresting 21 defendants and executing 32 search warrants in a nationwide takedown of a multimillion-dollar catalytic converter theft network,” said Attorney General Merrick B. Garland. “We will continue to work alongside our state and local partners to disrupt criminal conspiracies like this one that target the American people.”
Catalytic converters use precious metals in their core and are regularly targeted for theft due to the high value of these metals, especially palladium, platinum and rhodium.
Some of these precious metals are more valuable per ounce than gold and their value has been increasing in
recent years. The black-market price for catalytic converters can be above $1,000 each, depending on the type of vehicle and what state it is from.
They can be stolen in less than a minute. Additionally, catalytic converters often lack unique serial numbers, VIN information or other distinctive identification features, making them difficult to trace to their lawful owner. Thus, the theft of catalytic converters has become increasingly popular because of their value, relative ease to steal and their lack of identifying markings.
Eastern District of California Case
A federal grand jury in the Eastern District of California returned a 40-count indictment charging nine defendants with conspiracy to transport stolen catalytic converters, conspiracy to commit money laundering and other related charges.
According to court documents, brothers Tou Sue Vang, 31, and Andrew Vang, 27, and Monica Moua, 51, all of Sacramento, CA, allegedly operated an unlicensed business from their personal residence in Sacramento, where they bought stolen catalytic converters from local thieves and shipped them to DG Auto Parts LLC in New Jersey for processing. The Vang family allegedly sold more than $38 million in stolen catalytic converters to DG Auto.
Defendants Navin Khanna, aka Lovin Khanna, 39; Tinu Khanna Gagan Khanna, 35; Daniel Dolan 44; Chi Mo, aka David Mo, 37; Wright Louis Mosley, 50; and Lakra, 24, all of New Jersey, operated DG Auto in multiple locations in New Jersey. They knowingly purchased stolen catalytic converters and, through a “de-canning” process, extracted the precious metal powders from the catalytic core. DG Auto sold the precious metal powders it processed from California and elsewhere to a metal refinery for
over $545 million.
Northern District of Oklahoma Case
A federal grand jury in the Northern District of Oklahoma returned a 40-count indictment charging 13 defendants with conspiracy to receive stolen catalytic converters, conspiracy to commit money laundering and other related charges.
According to court documents, together the defendants bought stolen catalytic converters from thieves on the street, then re-sold and shipped them to DG Auto in New Jersey for processing.
Over the course of the conspiracy, defendant Tyler James Curtis received more than $13 million in wired funds from DG Auto for the shipment of catalytic converters and received more than $500,000 from Capital Cores for catalytic converters.
Defendant Adam G. Sharkey received more than $45 million in wired funds from DG Auto. And defendant Martynas Macerauskas received more than $6 million in payments from DG Auto for catalytic converters. In all these incidents, most of the catalytic converters sold to DG Auto were stolen, and DG Auto
when they paid for them.
The 13 defendants are Navin Khanna, 39, of Holmdel, NJ; Adam Sharkey, 26, of West Islip, NY; Robert Gary Sharkey, 57, of Babylon, NY; Tyler James Curtis, 26, of Wagoner, OK; Benjamin Robert Mansour, 24, of Bixby, OK; Reiss Nicole Biby, 24, of Wagoner, OK; Martynas Macerauskas, 28, of Leila Lake, TX; Kristina McKay Macerauskas, 21, of Leila Lake, TX; Parker Star Weavel, 25, of Tahlequah, OK; Shane Allen Minnick, 26, of Haskell, OK; Ryan David LaRue, 29, of Broken Bow, OK; Brian Pate Thomas, 25, of Choteau, OK; and Michael Anthony Rhoden, 26, of Keifer, OK.
Trial Attorney Danbee C. Kim of the Criminal Division’s Organized Crime and Gang Section, Assistant U.S. Attorney Veronica M.A. Alegría for the Eastern District of California, and Assistant U.S. Attorneys Reagan Reininger and David Nasar for the Northern District of Oklahoma are prosecuting the cases.
The FBI Sacramento, IRS-CI Sacramento, HSI Tulsa and IRS-CI Tulsa are investigating the cases.
Source: U.S. Department of
The Auto Care Alliance announced a new corporate partnership with Broadly, a service that helps repair facilities attract leads, connect with customers and automatically request reviews.
Broadly is among the first 15 companies to join with the ACA to support the organization and its members.
Broadly offers responsive websites, automated web chat, pay-over-time customer
financing, text and email communication, mobile payment options and a dashboard featuring insights and reports.
Members of ACA will receive up to 25% off a subscription to Broadly Premium. Further details about the Broadly special offer for Auto Care Alliance members can be found at www. autocarealliance.org/broadly.
Source: Auto Care Alliance
Enterprise released its Length of Rental (LOR) report for the third quarter of 2022, showing the average for collision replacementrelated rentals was 18.2 days, representing a three-day increase from Q3 2021’s 15.2 days.
Last year, when Enterprise compared Q3 2021 to Q3 2020, the results showed a 2.9-day rise. This represents almost six full days in the last 24 months.
As Enterprise previously observed in Q2 2022, signs were pointing toward seasonal norms, albeit with higher overall totals. This trend continued; the half-day increase from Q2 2022 (17.7 days) is in line with historical results. For example, in Q3 2021, results were two full days higher than Q2 2021.
Louisiana recorded the highest overall LOR at 22.2 days, a 3.5-day increase from Q3 2021. Georgia and Oklahoma were both at 21 days, a 3.9- and 3.5-day increase, respectively. Rhode Island, Alaska,
Q3 2021. It was followed by Hawaii (13.7), Iowa (13.9), Washington, D.C. (14.7) and Vermont (15.1).
John Yoswick, editor of the weekly CRASH Network newsletter,(67%) are currently searching for at least one body technician (up 5 percentage points from three years ago, pre-pandemic), and 38% of shops are looking to hire a body
days, which was still an increase of 5.1 days from Q3 2021. New York (23.2 days) and Iowa (23.6) had the next-lowest results.
Yoswick said the repair backlog has an outsized impact on nondrivable repairs.
“Shops continue to struggle with high levels of work-in-progress (WIP): jobs stalled because of parts delays or other issues or nondrivable vehicles waiting in the queue,” Yoswick said.
Total Loss
LOR for rentals associated with a total loss claim was 17.8 days, a modest 1.6-day increase from Q3 2021.
There was a wide variance across the country in relation to Q3 2021; on one end of the table is Hawaii with an increase of 7.3 days, with Washington, D.C. (-2.4) and Alabama (-1.1) on the other end.
helper (up 7 percentage points from both a year ago and three years ago).
Drivable
For rentals associated with a drivable repair, average LOR was 15.7 days, a 2.6-day increase from Q3 2021.
Louisiana had the highest drivable LOR at 18.6 days, followed by Oklahoma (18.4), Georgia (18.4) and Rhode Island (18.0). Seven other states were greater than 17 days, with another eight above 16 days.
Washington (16.5) had the largest drivable LOR increase, up four days, while Colorado (17.1) and Arkansas (16.7) were both up 3.8 days over Q3 2021.
North Dakota also had the lowest LOR for drivable claims, coming in at 9.9 days, a 0.4-day increase from Q3 2021. The next lowest result was Hawaii at 11.2 days (up 0.5) and Iowa at 11.5 (up 1.4).
Non-Drivable
Non-drivable rental LOR was 27.2 days, a 5.3-day increase from Q3 2021. Twelve states had nondrivable LORs greater than 30 days, led by Louisiana (34.3), Alaska (34.2), Colorado (32.2), and Oklahoma (32.0).
Washington’s results of 31.9 days represented the largest year-overyear increase at 10.3 days higher that Q3 2021.
Including Washington, 34 states plus Washington, D.C., saw increases greater than five full days from Q3 2021.
The District of Columbia had the lowest non-drivable LOR at 22.2
Hawaii did have the highest total loss LOR at 23.2 days, followed by Washington (21.3) and Louisiana (21.0).
North Dakota was lowest at 14.3 days, followed by Iowa (14.8) and Florida (15.2).
With the historic flooding and devastation brought on by Hurricane Ian, Enterprise expects to see impacts to Florida’s results in the months to come.
Summary
While Q3 2022 suggests the return of historical trending, the results themselves continue to be exacerbated by supply chain disruptions, parts delays, collision repair backlogs, claims process challenges and technician shortages.
And with the complexity of vehicle repairs only increasing, for both internal combustion engine (ICE) and battery electric vehicles (BEV) models, the entire industry must play a part in ensuring all collisionrelated businesses are aligned not just for procedural solutions, but to ensure our mutual customers receive safe and proper repairs, and excellent experience and peace of mind.
Source: EnterpriseAxalta Promotes Muse
To VP of
Axalta Coating Systems Ltd. On Oct. 31 announced Jim Muse has been promoted to VP of sales, Global Refinish, effective Jan. 1, 2023.
Muse will return to Axalta’s Global headquarters in Glen Mills, PA, and will report to Troy Weaver, senior vice president Global Refinish.
Prior to this promotion, Muse was Axalta’s vice president, EMEA Refinish, where he was responsible for Axalta’s Refinish Business in Europe, Middle East and North Africa. Muse first joined Axalta in 2013 as part of the North American refinish leadership team and was awarded the Axalta Senior Leadership Award in 2015 for his noteworthy contributions to the company.
Muse was also instrumental in the success of Axalta’s initiative
EV Sales Hit Record, According To Kelley Blue Book
Sales of electrified vehicles hit a record in Q3 2022, as one of the hottest segments in the U.S. automotive market continues to make waves throughout the industry, according to Kelley Blue Book, a Cox Automotive company.
compared to a year ago in September 2021. The average new EV price last month was $65,291, according to Kelley Blue Book, which is well above the industry average and aligns more with luxury versus mainstream prices.
Despite the high price tags for EVs, consumer interest is not showing any signs of slowing.
the EV segment slumped lower in Q3, although at 64% share, “lower” is a relative term. Declining share was inevitable for Tesla as more players entered the marketplace, but for now, the brand remains the leader among EVs.
More than 200,000 electrified vehicles were sold in the threemonth span of Q3 a first with the segment far outpacing the rest of the industry in terms of sales volumes and share growth. The high cost of electrified
“Electrified vehicles continue to be the darling of the industry, with the growing marketplace and consumer interest now reflected in record sales numbers,” said Brian Moody, executive editor for Kelley Blue Book. “While EV prices currently align more closely with luxury versus mainstream, the market continues to grow and evolve with more choices hitting the scene all the time. It’s no longer just ‘which Tesla is available,’ but rather an industry-wide boom with more EVs on the horizon from Ford, GM, Hyundai and other manufacturers.”
While Tesla is still the leading EV brand, new entries continue to show strong growth as they gobble up share. Tesla’s share of
More notable than the decline in EV share is the fact Tesla easily held on to the top spot in the luxury market during Q3, outselling No. 2 Mercedes-Benz by a large margin.
Beyond pure EVs, Toyota remains the gold standard for hybrid powertrains. Hybrid sales for Toyota decreased year over year in Q3 mostly due to tight inventory, but the brand still moved more than 100,000 hybrids in the U.S. during those three months. Year to date, nearly half of all hybrids sold in the U.S. wear a Toyota badge.
To view Kelley Blue Book’s Q3 2022 Electrified Vehicle Sales Report, visit https://www. coxautoinc.com/wp-content/ uploads/2022/10/Q3-2022Kelley-Blue-Book-ElectrifiedVehicle-Sales-Report.pdf
Source: Kelley Blue BookComing in hot: Your next parts order
CONNECTICUT
Lia Volkswagen Enfield 860-698-6890
Fax: 860-265-7840 M-F 8am-5pm; Sat 8am-12pm aguimaraes@liacars.com
MARYLAND
Ourisman VW of Rockville Rockville 855-417-4511
Fax: 240-499-2488 M-F 8am-5:30pm; Sat 8am-5pm rockvilleparts@ourismanautomotive.com www.rockvillevolkswagen.com
MASSACHUSETTS
Volkswagen of North Attleboro North Attleboro 508-695-7131
Fax: 508-695-0321 M-F 8am-5pm; Sat 8am-2pm kenr@driveavw.com www.driveavw.com
Fresh and ready to go—help increase customer satisfaction with OEM-quality Genuine VW Collision Parts.
NEW JERSEY
Ciocca Parts Warehouse Volkswagen Flemington 877-NJPARTS 877-657-2787
Fax: 908-782-1795 M-F 7:30am-5pm www.njparts.com
Open Road Volkswagen of Bridgewater Bridgewater 908-685-1068
Fax: 908-685-1547
M-F 7:30am-5pm; Sat 8am-3pm vwb.parts@openroad.com www.openroadvwparts.com
Paul Miller Volkswagen Bernardsville 908-360-1162
Fax: 908-766-6171
M-F 8am-5pm; Sat 8am-4pm aaitchison@paulmiller.com www.paulmillervw.com
NEW YORK
Hudson Valley Volkswagen Wappingers Falls 845-298-2365
Fax: 845-224-3686 M-F 7:30am-5pm; Sat 8am-5pm billsantoro@thepremiercollection.com
Platinum Volkswagen Hicksville 516-822-4800
Fax: 516-822-4831
M-F 7:30am-5:30pm parts@platinumvw.com www.platinumvw.com
PENNSYLVANIA
Ciocca Volkswagen Allentown 610-791-4177
Fax: 610-289-7016
M-F 8am-5pm; Sat 8am-4pm cioccavwparts@cioccadealerships.com
Find an authorized Volkswagen dealership near you at vwwholesaledealers.com
“Volkswagen” and the Volkswagen logo are registered trademarks of Volkswagen AG. ©2022 Volkswagen of America, Inc.
The Society of Collision Repair Specialists (SCRS) has published the results of its blend study research project conducted in August with major North American refinish companies.
To download the “Blend Study Report: A comparative analysis between full refinish and blend operations,” visit www.scrs.com/ blendstudy.
and Mitchell each defines its own refinish times, and each establishes the labor for blend on a two-stage refinish by utilizing a formula of 50% of the full refinish value.
Collision repairers have routinely expressed that blending a panel takes more skill and time to facilitate an invisible transition than the existing formulas reflect.
SCRS worked with AkzoNobel Vehicle Refinishes, Axalta Coating Systems, BASF Automotive Refinish, PPG Industries and Sherwin-Williams Automotive Finishes to perform the research at the Global Finishing Solutions (GFS) Center for Excellence, at the GFS headquarters in Osseo, WI.
less time allocated in the three IP estimating systems.
AARONdonated by 3M and SCRS as well as miscellaneous materials from the research project, were all donated to the Chippewa Valley Technical College (CVTC), in Eau Claire, WI.
Blending a panel adjacent to a panel being replaced or repaired is a necessary process to achieve a proper color match, and is recommended by all the major automotive refinish companies in North America.
The three primary estimating system information providers (IPs) in the U.S Audatex, CCC/MOTOR
The study used 45 new OEM parts, donated by Ford Motor Company, including hoods, fenders and front door shells for the 2018 Ford F-150, and was monitored and audited by DEKRA North America, the world’s largest unlisted expert organization in the TIC (testing, inspection, certification) industry.
The conclusions of this study indicate that blending, on average, took 31.59% more time than a full refinish, rather than the 50%
“The findings suggest that the concerns expressed by our members have not been unfounded,” said SCRS Executive Director Aaron Schulenburg “These results very clearly establish that performing the processes necessary to blend a panel does not take less labor than the processes to fully refinish a panel.”
The study results conclude the existing 50% formula may not be an accurate representation of the comparison between the two tasks.
At the conclusion of the test, all 45 parts donated by Ford Motor Company and 10 part stands
SCRS extends its gratitude to all the individuals and companies who made this research possible. With specific recognition of the contributions from 3M, AkzoNobel Vehicle Refinishes, Axalta Coating Systems, BASF Automotive Refinish, DEKRA North America, Ford Motor Company, Global Finishing Solutions, PPG Industries and Sherwin-Williams Automotive Finishes.
To download the “Blend Study Report: A comparative analysis between full refinish and blend operations,” visit www.scrs.com/ blendstudy.
Support this and other efforts from SCRS through membership, by contacting the SCRS office at info@scrs.com or visit www.scrs. com/join-scrs.
For more information about SCRS, or to join as a member, visit www.scrs.com, call 1-877-8410660 or email info@scrs.com.
Source: SCRS
“These results very clearly establish that performing the processes necessary to blend a panel does not take less labor than the processes to fully refinish a panel.”
SCHULENBURG SCRS EXECUTIVE DIRECTOR
The times have not been kind to the auto insurance industry.
The volume of vehicle collisions is returning to pre-pandemic levels and, when combined with all-time-high repair costs, historic backlogs in repair shops and limited replacement parts availability, it is costlier and more time-consuming than ever to get customers’ vehicles back on the road after a collision.
The J.D. Power 2022 U.S. Auto Claims Satisfaction Study, released Oct. 27, adds another dour fact to the mix: customer satisfaction has declined 7 points (on a 1,000-point scale) from 2021 as customers start to lose patience with the claims process.
“Insurers are in a tight spot with their own profitability strained and a host of external factors causing their customers to grow increasingly disillusioned with the entire claims experience,” said Mark Garrett, director of global insurance intelligence at J.D. Power. “The best way forward is for insurers to start focusing on carefully managing customers’ expectations and finetuning their digital engagement strategies to shepherd their customers through the process.
“There is one bright spot in the
study: insurers that focused on managing timing expectations, were quickly available and responsive to customers and that provided multiple digital options for status
satisfaction with the auto insurance claims process this year falls 7 points to 873. While satisfaction is down across nearly all factors in the study, satisfaction with the repair process
stronger preference for working with people than using digital contact.
These customers also have a notably worse claims experience, as satisfaction is 31 points lower than among those who are equally comfortable with both people and digital as contact channels.
Getting digital formula just right is critical, but not easy: Not all digital experiences are created equal. When digital is used for delivering status updates, overall satisfaction rises 56 points, with those using text messaging having the highest levels of satisfaction. However, when digital is used to report first notice of loss (FNOL) via the internet or mobile app, overall satisfaction falls 4 points.
updates were able to outperform the industry with some even improving year over year,” Garrett said.
Key Findings of the 2022 Study
Historically slow repair process drags on customer satisfaction: Overall
registers a 9-point year-over-year decline.
This year marks the first time a majority of customers cited supply chain issues such as waiting for parts on order and repair shop backlog as reasons for delays in getting their vehicle back on the road. The average repair cycle time is nearly 17 days, compared with a prepandemic average of about 12 days.
Expectation management becomes key to customer satisfaction: The average overall satisfaction score among customers experiencing a repair cycle time greater than three weeks is 837. That score jumps 71 points to 908 when customers are provided with an accurate time estimate beforehand.
Being empathetic throughout the process is key, especially for the longer-tailed claims that can create more effort for customers who have questions, need updates and are trying to determine next steps.
Claims servicing is not one size fits all: Rising repair costs are challenging insurers’ profitability, so pressure is mounting to better manage expenses.
This puts the focus on digital channels as a critical tool for efficiently managing customer relationships, but not all customers want to use such channels. In fact, 34% of customers say they have a
Right hand, meet left hand: A common complaint about the auto insurance claims process is the need to repeatedly provide the same information to different people at various points in the process. Overall satisfaction scores are lowest (840) when customers interact with three or more representatives during the claims process---a decline of 13 points from a year ago.
Scores are highest (912)---and have held steady year over year when the insurer uses straightthrough-processing technology to automatically approve and route the claim.
Study Ranking
Amica Mutual ranks highest in overall customer satisfaction with a score of 903. NJM Insurance Co. (896) ranks second and Erie Insurance (893) ranks third.
The redesigned 2022 U.S. Auto Claims Satisfaction Study is based on responses from 8,239 auto insurance customers who settled a claim within the past six months prior to participating in the survey. The study excludes claimants whose vehicle incurred only glass/ windshield damage or was stolen, or who only filed a roadside assistance claim. The study was fielded from November 2021 through September 2022.
For more information about the U.S. Auto Claims Satisfaction Study, visit https://www.jdpower.com/ resource/jd-power-us-auto-claimssatisfaction-study.
Source: J.D. Power
Publisher Jeremy Hayhurst
General Manager
Barbara DaviesContributing Writers
Ed Attanasio, Janet Chaney, Toby Chess, Stacey Phillips, John Yoswick
Advertising Sales
Joe Momber, Norman Morano
Office Manager
Louise TedescoDigital Marketing Manager Bryan Malinski
Art Director Rodolfo Garcia Senior Designer Vicki SitarzEditor
Abby Andrews
Accounting & HR Manager
Heather PriddyPermissions Editor
Randi Scholtes OfficeAssistant
Dianne PrayServing New York, New Jersey, Pennsylvania, Delaware, Maryland, Northern Virginia, Connecticut, Rhode Island, Massachusetts, Maine, New Hampshire, Vermont and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher.
©2022 Adamantine Media LLC.
Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com
Kia Recalls 71,000 SUVs For Fire Risk
Kia America issued a new recall for certain 2008-2009 Kia Sportage vehicles due to a continued risk of fire, and strongly urges owners of these vehicles to park their cars outside and away from homes and other structures until their vehicles have been repaired.
potentially affected
These vehicles were previously recalled in 2016, and owners will need to have their vehicles repaired again under this new recall.
The recall repair is under development. Owner notification letters are expected to be mailed Dec. 22.
Owners may contact Kia customer service at 800-3334542. Kia’s number for this recall is SC253.
Vehicle owners can visit NHTSA. gov/recalls and enter their 17-digit vehicle identification number to see if their vehicle is under recall.
An engine compartment fire originating from around the Hydraulic Electronic Control Unit (HECU) may occur while the vehicle is parked or being driven.
Kia said 71,704 vehicles are
Owners can also download NHTSA’s SaferCar app for Apple or Android. Enter the vehicle, tires, car seat, or other vehicle equipment, and the app will push a notification if a recall is issued.
Source: NHTSAFinish It Like a Masterpiece with
GENUINE PA RT S
The Dealers Below Ar e Mer cedes-Benz Genuine Pa r ts Specialists:
DELAWARE
Mercedes-Benz of Wilmington Wilmington 302-995-5030 302-995-5033 Fax M-F 7:30am - 5pm Sat 8am - 2pm parts@mbofwilmington.com www.mbofwilmington.com
NEW YORK
Mercedes-Benz of Goldens Bridge Goldens Bridge 914-232-8146 914-232-4770 Fax M-F 8am - 5:30pm Sat 8am - 2pm achristiano@mercedesbenzgb.com www.mercedesbenzgb.com
Mercedes-Benz of Smithtown St. James 631-265-5339 631-265-8146 Fax M-F 8am - 5pm Sat 8am - 4:30pm mlevantino@mbofsmithtown.com www.mbofsmithtown.com
NEW JERSEY
Mercedes-Benz of Newton Newton 800-842-0557 888-302-2369 973-383-1284 Fax M-F 8am - 5pm realmercedesparts@mbofnewton.com
Mercedes-Benz of Paramus Paramus 888-30-PARTS 201-265-7808 201-483-2782 Fax M-Th 7:30am - 7:30pm F 7:30am - 5pm Sat 8am - 5pm parts@prestigemb.com
PENNSYLVANIA
Mercedes-Benz of Fort Washington Fort Washington 267-419-1414 201-765-9760 Fax M-F 7:30am - 6pm Sat 7:30am - 5pm mbpartswholesale@yourmercedes.com
Mercedes-Benz of West Chester West Chester 484-313-1110 484-313-1002 Fax M-F 7:30am - 6pm Sat 7:30am - 5pm parts@mbofwestchester.com
RHODE ISLAND
401-624-6181 401-624-4817 Fax M-F 7:30am - 5:30pm Sat 9am - 5pm eric@viti.com www.viti.com
TOOLS
Gear-Driven Sanders
For quick, aggressive material removal. Unique epicycloidal sanding pad motion generates torque and enhanced power for consistent material removal.
– Achieve a swirl-free finish when buffing with optional polishing pads.
5", 6" and 8" diameter models available.
Dynorbital® Extreme
Random Orbital Sanders
– Highest power-to-weight ratio and most consistent speed under load in the industry. Ergonomic design for increased operator comfort and reduced fatigue.
– 3", 5" and 6" diameter models available with 3/16" or 3/32" dia. orbit.
Dynorbital- Spirit® Random Orbital Sanders
Dynafile® II Abrasive Belt Tool
Grind, deburr, blend and polish using contact wheel, platen pad or slack of belt.
Access hard-to-reach areas. Lightweight 7° offset design.
– Grinding head pivots 360°.
Dynabug II® Orbital Sanders
– Feather-edge, finish, sand and blend.
– Lightweight, comfortable sander is ideal for vertical and contoured applications. Small grip housing; ideal for operators with smaller hands.
3", 5" and 6" diameter models available with 3/8", 3/16" or 3/32" diameter orbit.
– Excellent for use in corners and tight areas.
– Compact, lightweight design reduces operator fatigue, especially during extended use on vertical surfaces. Models available with 3/16" or 3/32" orbit.